China and Peru released a joint press communique on Wednesday in the Peruvian capital of Lima, agreeing to establish a "strategic partnership" and sign free trade agreement (FTA) at an early date.

The communique was issued as Chinese President Hu Jintao is in Lima for a state visit to Peru and for the Economic Leaders' Meeting of the Asia-Pacific Economic Cooperation (APEC) forum slated for November 22-23.

The communique said the two sides, within the framework of the strategic partnership, will deepen political ties of mutual trust and equality, expand mutually-beneficial, win-win and pragmatic cooperation, promote exchange in various fields and maintain close and friendly cooperation at different levels.

The Peruvian government has reiterated its respect for and recognition of the People's Republic of China's sovereignty and territorial integrity, and its adherence to the one-China policy, according to the communique. In return, China has voiced its appreciation for Peru's position.

In addition, the communique said Chinese President Hu and his Peruvian counterpart Alan Garcia have been satisfactory with their bilateral economic and trade ties.

Stressing the complementarity between the two countries' economy and trade and the cooperation potential in this regard, the two leaders pledged joint efforts to optimize commodity structure in bilateral trade and expand cooperation in mining, oil, telecommunications, fishing and infrastructure, the communique said.

Peru is one of China's major trading partners in Latin America, with two-way trade volume totaling US$6 billion in 2007.

In addition, satisfied with the successful conclusion of their FAT talks, China and Peru have vowed to work together to sign the deal at an early date, said a joint press communique.

In the communique, the two sides reiterated actions to increase investments to each other, encouraging mutual visits of their entrepreneurs and coordinating the investment promotion activities of each other's investment promotion organizations.

The two sides also reiterated commitment to eliminating poverty, especially the extreme poverty in rural areas. According to the communique. To achieve the goal, China and Peru have signed a memorandum of understanding on cooperation to help the poor.

According to the communique, the two sides agreed to maintain coordination and cooperation in various fields and to strengthen consultation and coordination on international and regional affairs of common concern.

In addition, the two governments promised, within their own national function and in line with the consensus reached within the framework of the Asia-Pacific Economic Cooperation (APEC) forum, to work together to eliminate the negative impact of the international financial crisis, the communique added.

(Xinhua News Agency November 20, 2008)