China to ink 15 billion dollars in trade deals with U.S.
A Chinese trade delegation headed by Vice Premier Wu Yi that left for the United States on Monday has already signed four billion dollars worth of deals, the Chine Business News reported.
More contracts are expected to be signed in the lead up to and during Hu's visit, with potential airplane purchases from Boeing among the most significant.
"If the contracts with Boeing are signed as planned then the total purchase orders will amount to around 15 billion dollars," the report quoted Zhou Xiaomei, spokeswoman for the Chinese consulate in Los Angeles, as saying.
Hu is expected to hold a summit with US President George Bush during an April 18-22 visit to the United States that will include a stop over in Seattle, where Boeing planes are manufactured.
Separate Chinese press reports said that Beijing was in talks to purchase up to 80 Boeing aircraft. It was not clear whether the purchases had been previously announced or were an entirely new order.
China signed a deal for 70 Boeing 737s worth four billion dollars during U.S. President George W. Bush's visit to Beijing in November.
The buying spree is being seen as a bid by Beijing to placate U.S. concerns over the huge U.S. trade deficit with China, which last year hit a record 202 billion dollars, according to the US government.
Washington has maintained steady pressure on China in the lead up to Hu's visit on trade issues such as market access, intellectual property rights protection and Beijing's alleged efforts to keep its currency undervalued.
Wu's trade delegation, which includes about 200 Chinese businessmen representing 110 enterprises, has already signed 27 contracts, according to the China Business News.
They include a one-billion-dollar deal with auto-electronics maker Flextronics and a software contract worth 300 million dollars with Qualcomm Inc., the report said.
Other deals reportedly signed included one worth 560 million dollars with telecommunications giant Motorola and a 350-million-dollar contract with General Electrics for power equipment and other machinery.
Major U.S. car manufacturers were also awarded purchase contracts including one worth 300 million dollars for General Motors and a 110-million-dollar deal with Ford Motor, the report said.