China, Canada sign investment promotion accord

China and Canada signed foreign investment promotion and protection accord on Sunday as President Hu Jintao met with Prime Minister Stephen Harper on the final day of the Asia-Pacific Economic Cooperation summit.

Both leaders held the signing will put great impetus to bilateral investment and China-Canada tie.

President Hu Jintao, right, meets with Canadian Prime Minister Stephen Harper in Vladivostok, east Russia, Sept 9, 2012. [Photo/Xinhua]

Meeting on the sidelines of the Economic Leaders' Meeting of APEC, Hu said China and Canada tie has become more prominent given that the world is undergoing complex changes.

Hu urged the two sides to preserve the "hard-won" momentum, strive to push the strategic partnership, and move forward on "a steady and healthy track".

Hu also called on Canada to advance political trust, trade ties with China.

The two leaders witnessed the signing of the Canada-China Foreign Investment Promotion and Protection Agreement. Harper said the signing will push China-Canada tie to move further.

Harper also said Canada is ready to work with China on Asia-Pacific affairs, and strengthen political dialogue and communication on major world issues.

The Canada-based CBC News said that the "Sunday morning meeting is considered the centerpiece of the prime minister's trip to the APEC summit in Russia because of his government's focus on expanding trade with the Asian economic giant".

The meeting also comes at a key time as Harper's government reviews CNOOC Ltd's $15.1 billion takeover of Nexen Inc., a Calgary-based oil and gas producer.

Bloomberg quoted Harper as saying on Saturday that Canada will be open to investment from China as long as the Asian country is willing to reciprocate.

Special coverage: Hu attends APEC Summit

China has already invested heavily in Canada's natural resources sector, but the Nexen bid has sparked concern because CNOOC is a state-owned company, not a private company.

Prior to arrival at the summit, Harper said the onus is on China to show that its state-run enterprises can be trusted to play by the same rules that applied in Canada, according to CBC News.

Bilateral trade between Canada and China, Canada's second-largest trade partner, reached $47.5 billion in 2011, up 27.8 percent compared with that in 2010.