Trade volume between China and Russia hit a record 33.4 billion U.S. dollars in 2006, up 15 percent from the previous year, according to the Ministry of Commerce.

Currently, Russia is the eighth largest trade partner of China and China is Russia's the fourth largest trade partner, according to the ministry.

China invested in 79 projects in Russia last year and Chinese investment, excluding the financial sector, reached 470 million U.S. dollars, up 131.5 percent year-on-year.

Chinese funds flew to such sectors as energy, development of mineral resources, forestry, trade, light and textiles industry, household electric appliance, telecommunications, construction and services.

Russia invested in 126 projects in the fields of manufacturing, construction and transportation in China last year, with contracted investment topping 230 million U.S. dollars.

The two countries also made progress in cooperation in the sectors of energy resources, nuclear energy, high technology and aviation, according to the Chinese Ministry of Commerce, without providing details.

Border trade between the two countries rose 25 percent to 7 billion U.S. dollars last year.

In July 2005, Chinese President Hu Jintao and Russian President Vladimir Putin jointly announced that the "Year of Russia" would be held in 2006 in China and the "Year of China" would be held in 2007 in Russia.

The activities represent an important advance in Sino-Russian

relations, which will further the development of bilateral relations, said Hu in a New Year message to Putin on Dec. 31 of 2005.

During the "Year of Russia" in China, which was launched in March 2006, more than 250 events have been held in trade, investment and cultural fields.

Chinese President Hu Jintao and Russian President Vladimir Putin exchanged new year's greetings on Dec. 31 last year, and announced the start of the "Year of China" in Russia.

Yu Guangzhou, vice minister of commerce, said that 31 economic and trade events will be held during the "Year of China" in 2007 in Russia.

Source: Xinhua