China announced in December last year it would start allowing Renminbi settlement of international accounts on a trial basis.

The government announced last month it would increase the number of pilot cities carrying out yuan settlements in foreign trade from the current five -- Shanghai, Zhuhai, Guangzhou, Shenzhen and Dongguan -- to help export companies avoid foreign exchange rate fluctuations.

China and Turkey saw their trade surge from about US$1 billion in 2000 to about US$12.6 billion in 2008, but Turkey witnessed a huge trade deficit with China, said Chen.

"China has no intention of expanding the trade surplus with Turkey," he told reporters, "we hope we can achieve trade balance gradually through the work of both sides, especially the efforts of our enterprises."

China will further encourage Turkish companies to sell products to China and Chinese enterprises to invest in Turkey to reduce the imbalance.

Chen Deming arrived at Ankara Wednesday evening on a four-day visit to Turkey and will go to Istanbul on January 8.