Iran, China to develop trade, transport ties

January 5, 2016 - 0:0

TEHRAN– Chinese President Xi Jinping would visit Iran by next month to discuss bilateral economic ties, said Majid-Reza Hariri, the deputy head of Iran-China Joint Chamber of Commerce.

During his visit, the two country are planning to sign memorandums of understanding in infrastructural development projects specially construction and development of ports and railway in addition to free trade zones, ISNA reported on Monday.

Iran and China are also moving toward a crucial currency swap mechanism which is expected to help ease their mutual trade activities.   

The mechanism envisages payments in yuan to suppliers of commodities and services to Iran in return for the oil that Beijing purchases from Tehran.

On Sunday, Hariri said the two countries are in early talks over the scheme, adding that they yet need to work on details.  

Back In December, a delegation of the Iranian Ministry of Road and Transportation visited their Chinese counterparts in Beijing and discussed major rail projects.

The two sides highlighted the significance of linking China and Iran via railroads that also crosses Afghanistan, Kyrgyzstan and Tajikistan. 

China was the leading importer of Iranian non-oil goods in the previous Iranian calendar year, which ended on March 20, 2015, according to the Iran Customs Administration.    

Iran exported $9.159 billion of non-oil goods to China and imported $12.56 billion of non-oil goods from the country.