Foreign trade volume totaled US$1.6 trillion during the first 11 months of 2006, an increase of 24.3 percent year on year, according to China Customs. China realized a trade surplus increase of US$66 billion to US$157 billion. Foreign trade volume was expected to exceed US$1.7 trillion in 2006, up over 20 percent from the previous year. Exports and imports will reach US$960 billion and US$801 billion respectively in 2006. Trade volume between the Chinese mainland and Taiwan broke US$100 billion for the first time.

Chinese steelmakers joined in global iron ore price negotiations in 2006, taking advantage of China's position as the largest iron ore import country in the world. Baosteel Group, China's largest steelmaker, on behalf of more than 100 major steel firms in the country, agreed on a 9.5 percent increase in iron ore prices for 2007 on December 21 with the world's three largest suppliers CVRD and Australia's BHP Billiton and Rio Tinto. The increase came after a 19 percent rise on June 20.

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