China, France sign major business deals

China and France have signed scores of deals worth $A27.35 billion, including a Chinese order for 70 Airbus planes worth more than $US10 billion.

Beijing and Paris have signed scores of deals worth 18 billion euros ($A27.35 billion) on the second day of a lavish state visit by the Chinese president, in what Francois Hollande said would bring much-needed growth.

Xi Jinping and his wife Peng Liyuan have been given VIP treatment on a nostalgia-tinted trip to France marking the 50th year of full diplomatic ties between the two countries - a visit due to culminate with a concert at the Versailles palace on Thursday.

On Wednesday afternoon, after kicking off his trip in the eastern city of Lyon, Xi travelled to Paris where he met with Hollande and signed a raft of deals.

"Eighteen billion euros of contracts - that is jobs, growth and, most of all, significant prospects for the coming years," Hollande said during a joint press declaration with Xi.

By far the biggest deal was a Chinese order for 70 Airbus planes worth more than $US10 billion.

The order covers the purchase of 43 mid-range A320 planes and 27 long-haul A330s, the European aviation giant said.

China had already announced its intention to purchase the planes but subsequently froze the order due to a row over EU plans to impose a carbon emissions levy on airlines.

This forced Airbus to take the 70 planes off its order book, so Wednesday's contract is considered a new order.

Airbus Helicopters and China's Avicopter also announced a deal to jointly produce 1000 civilian helicopters over 20 years.

And the two countries signed agreements in a number of other areas including the nuclear, financial and automotive sectors.

France lags behind some European neighbours, especially Germany, in trade and investment links with fast-growing China.

Last year, France had a trade deficit with China worth 25.8 billion euros, and on Wednesday, Hollande told Xi that Paris had a "duty... to re-balance trade between our two countries".

His comments came as the number of jobless in France surged by 0.9 per cent in February to a new record of 3.34 million, in what is likely to increase the deep unpopularity of Hollande's Socialist government.

Xi and Peng began the French leg of their trip on Tuesday in the eastern city of Lyon, a former silk centre that forged enduring links with China from the 16th century.


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Source: AAP

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China, France sign major business deals | SBS News