Visiting Chinese President Hu Jintao said Wednesday in Buenos Aires that rapid economic development of both in China and Argentina has created a favorable environment for stronger trade cooperation and the two nations should make joint efforts for higher bilateral trade volume.

Meeting officials and representatives of Argentina's business sector in Buenos Aires, President Hu said that trade between China and Argentina has increased steadily in recent years.

"Last year, trade between the two countries amounted to 3.1 billion US dollars, a 122 percent increase over the previous year," he said.

" In the first nine months of this year, the bilateral trade volume has already reached 3.0 billion dollars, 21 percent higher than the same period of 2003," said Hu.

He said that both the governments and business sectors of China and Argentina should tap potentials for trade and investment cooperation.

"The Chinese government will continue to encourage businessmen in China to invest more in Argentina, and we also hope that Argentina's businessmen would have more investment projects in China," Hu said.

"So long as we continue to make joint efforts, economic and trade cooperation would make new progress," the president said.

Hu arrived here from Brazil Tuesday for a state visit to Argentina, the second leg of his four-nation Latin-American tour.

He will leave for Santiago Thursday for a state visit and to attend the Economic Leaders' Meeting of the Asia-Pacific Economic Cooperation (APEC) being held there. After the meeting, Hu will visit Cuba.