ECONOMIC AND TRADE COOPERATION

The two sides believed that broad prospects have emerged in the bilateral economic and trade ties in recent years, the statement said.

Both sides decided to put trade in services on fast track to make FTA (Free Trade Agreement) on goods and services more comprehensive, it said, adding they agreed to increase their bilateral trade to over 15 billion U.S. dollars in the next five years.

The two sides took note of the achievements of and potential for cooperation in the manufacturing sector and decided to strengthen cooperation in household appliances, automobile and textile industries, according to the statement.

Furthermore, they also agreed to strengthen comprehensive project cooperation in the energy sector, including fossil fuels, coal, hydro-power, nuclear power, renewable sources of energy as well as in the mining and resources sector, it said.

To facilitate people-to-people exchanges and trade and economic cooperation between the western region of China and Pakistan, China agreed to set up a Pakistan Consulate General in Chengdu, it said.

MILITARY COOPERATION

China and Pakistan expressed satisfaction on close cooperation between their defense ministries as well as the two militaries at various level and in various fields in recent years, the statement said.

It added that the two sides decided to continue all-round cooperation including the exchanges of group visits and consultation on national defense and personnel training.

ANTI-TERRORISM

In the statement, the two sides shared the view that the three evil forces of terrorism, separatism and extremism pose grave threats to regional peace, stability and security.

They reaffirmed their commitment to substantive cooperation under bilateral and multilateral frameworks to jointly combat the three evil forces, and maintain regional peace, stability and security.

Hu arrived here on Thursday for a state visit to Pakistan. It is the last leg of Hu's four-nation Asia tour, which has already taken him to Vietnam, Laos and India.

The visit also coincides with the 55th anniversary of the establishment of diplomatic ties between China and Pakistan.

1

2