In this paper after short review of the CSIEC project initialized by us in 2003 we present the continuing development and improvement of the CSIEC project in details, including the design of five new Microsoft agent characters representing different virtual chatting partners and the limitation of simulated dialogs in specific practical scenarios like graduate job application interview, then briefly analyze the actual conditions and features of its application field: web-based English education in China. Finally we introduce our efforts to adapt this system to the requirements of English teaching and learning in China and point out the work next to do.