Mining giant Rio Tinto on Friday appointed Ian Bauert, who set up the company's first office in China more than 25 years ago and is fluent in Chinese, to head its operations in the country, aiming to improve relations with its largest customer.

"Ian's experience and leadership will provide strategic direction and help guide all aspects of our engagement with China, one of our most important partners," said CEO Tom Albanese.

Albanese said he was deeply committed to developing the firm's relationship with China.

Bauert will be based in Shanghai and will lead Rio Tinto's 160-strong team of employees in Beijing, Shanghai and Guangzhou.

Bauert was previously the firm's head of iron ore sales and marketing. He set up the company's first office in China more than 25 years ago.

Rio Tinto's business in China was hampered by the arrest of its Shanghai office staff member Stern Hu on charges of stealing State secrets. Rio Tinto spurned a US$19.5 billion investment from Chinalco last year.

Headquartered in London, Rio Tinto is the world's second-largest iron ore supplier.

(China Daily / Xinhua News Agency February 6, 2010)