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1. Bilateral trade relations
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According to China Customs, the bilateral trade volume between China and Malaysia in 2005 reached US$30.71 billion, up by 16.9 percent, among which China's export to Malaysia was US$10.61 billion, up by 31.2 percent, while China's import from Malaysia was US$20.1 billion, up by 10.6 percent. China had a deficit of US$9.49 billion. China mainly exported cereal, machinery and electronic products, textile yarn and products thereof, clothing and accessories, steel, crude oil, footwear, and vegetables, etc. The major imported products of China from Malaysia included machinery and electronic products, palm oil, plastics, natural rubber, unprocessed wood, product oil, steel, and crude oil, etc.

According to the Ministry of Commerce (hereinafter referred to as MOFCOM), the turnover of engineering contracts completed by Chinese companies in Malaysia reached US$230 million in 2005, and the volume of the newly signed contracts was US$310 million. The volume of completed labour service cooperation contracts was US$ 26.18 million, and that of the newly signed labour service cooperation contracts was US$25.07 million. The turnover of finished designs and consultations was US$0.78 million and there were no newly signed contracts. Up to the end of 2005, the aggregate turnover of engineering contracts completed by Chinese companies in Malaysia reached US$2.07 billion, with a total contractual volume of US$3.65 billion. The aggregate volume of completed labour service cooperation contracts was US$190 million, with a total contractual volume of US$240 million.

Approved by or registered with the MOFCOM, 15 Chinese-funded non-financial enterprises were established in Malaysia in 2005, with a total contractual investment of US$15.85 million from the Chinese parties. By the end of 2005, total number of such kind of enterprises in Malaysia reached 130, with an accumulated contractual volume of US$61.8 million from the Chinese parties.

According to MOFCOM, Malaysian investors invested in 371 projects in China in 2005, with a contractual investment of US$1.27 billion and an actual utilization of US$360 million. By the end of 2005, Malaysian investors invested in a total of 3,611 FDI projects in China, with a total contractual investment of US$9.73 billion and an actual utilization of US$3.84 billion.

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