China and the United States on Tuesday established a high-level consultation mechanism for people-to-people exchange to further bilateral ties.

Chinese State Councilor Liu Yandong and U.S. Secretary of State Hillary Clinton co-chaired the inauguration ceremony, which was held on the sidelines of the second round of China-U.S. Strategic and Economic Dialogue.

"A broader and more intensive people-to-people exchange is necessary for the building of positive, cooperative and comprehensive Sino-U.S. relations in the 21st century," Liu said.

Liu proposed the two sides lay out a well-prepared blueprint and properly allocate resources for boosting friendship between the two peoples.

She also suggested the two sides deepen cooperation in education, science and technology, culture and sports, and facilitate exchange among the youth.

Clinton urged the two countries to learn from each other so as to build trust and carry out cooperation.

In the first meeting concerning the mechanism, the two countries announced a package of exchange programs, in which 100,000 U.S. students will study in China in the coming four years, and about 10,000 Chinese postgraduates will go to the United States to undertake their PhDs programs.