Sweden-China cooperation in the high-tech sector is fueling bilateral trade and economic ties and such cooperation between Sweden and southwestern China's Chongqing Municipality will benefit both sides, said Swedish Ambassador to China Borje Ljunggren.

The Swedish diplomat made the remarks at a press conference on the Chongqing-Sweden Day on May 19.

Sweden-China trade increased by 25 percent year-on-year last year and China became Sweden's largest trade partner in Asia, followed by Japan, the ambassador said.

Chongqing-Sweden trade exceeded 32 million US dollars in 2003, which included 3.5 million US dollars worth of Chongqing exports and 28.5 million US dollars worth of Swedish exports, mainly machinery and electronic products.

Six Swedish or Sweden-related companies have been established in Chongqing with a total contractual investment of 22.68 million US dollars.

Chongqing has cutting-edge competitiveness in terms of economic strength and geographic location, he said, adding that he hopes trade and economic cooperation can be further enhanced through the Chongqing-Sweden Day.