BEIJING - Prime Minister Abdullah Ahmad Badawi discussed China's overheated economy with President Hu Jintao on Saturday and urged China to be more forthcoming about its plans for a "soft landing".

"I had a good meeting with him and we covered many areas of cooperation between Malaysia and China," Abdullah told journalists following the meeting.

"I did mention that whatever happens in China today, there is always talk about China's economy and the need for a soft landing because of the overheated economy and that there is an interest in knowing what China is planning."

"We hope that we will be able to understand what China will do and we hope to have early information on any kind of work that China will be doing," he said.

Abdullah said that in his talks with Hu and Premier Wen Jiabao on Friday, the Chinese side said the economy was basically "doing well" and the government was making efforts to address "only some sectors" that were overheating.

International issues

The free floating of the Chinese yuan or the Malaysian ringgit were not "specifically discussed," Abdullah said.

During the talks "we expressed our satisfaction at the level of relations and that the 30 years of bilateral relations between Malaysia and China have been good for both sides," he said.

They also discussed international issues including the situation in Iraq and the Middle East, he said, adding he had put forward his hopes to hold an East Asia leaders summit when Malaysia hosts the annual summit of the Association of East Asian Nations (Asean) next year.

Both sides agreed to step up cooperation in the areas of industry, high tech, agriculture, education and health, he said.

On Friday they signed a joint communique and three government-to-government agreements covering education, trade exchanges and a World Trade Organization technical agreement.

Nine other agreements covering the business field were signed and memorandums of understandings were reached on 16 other business deals including missile technology, waterworks construction, high technology and education.

Growing trade

Abdullah, who heads a delegation including nine senior ministers and 100 industry leaders, travelled to China's eastern metropolis of Shanghai Sunday.

Malaysia's trade with China grew by nearly 24 percent in 2003 over the previous year to US$14.4 billion, with Malaysian exports rising by 29 percent during the period to US$6.8 billion.

According to the Malaysian ambassador to China, Dato Abdul Majid, Malaysian businesses have invested US$3.1 billion in China from 1996 to 2003, while Chinese businesses have invested some US$1.1 billion in Malaysia since

This year has been declared as the Sino-Malaysia Friendship Year to celebrate the establishment of diplomatic relations on May 31, 1974. - AFP