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China's Shanghai Airlines on Wednesday signed a US$550 million deal to buy aircraft engines with GE Aviation, a leading US manufacturer of jet aircraft engines.

 

The deal includes the purchase of US$300 million worth of engines to power nine Boeing 787 Dreamliner aircraft, as well as a US$250 million service contract.

 

"US companies produce the kind of world-class products and services that can help China meet the demands of its rapidly developing and innovative economy, while supporting American jobs at home," US Commerce Secretary Carlos Gutierrez said at the signing ceremony.

 

The deal was one of four business contracts signed between Chinese and US companies in Beijing on Wednesday.

 

US retailer Home Depot's acquisition of Chinese home improvement merchandise store The Home Way was among the three other contracts signed.

 

The signing ceremony took place ahead of a strategic economic dialogue between China and the United States which starts on Thursday. It will be co-chaired by US Treasury Secretary Henry Paulson and Chinese Vice Premier Wu Yi.

 

Yi Xiaozhun, the Chinese deputy minister of commerce, said at the signing ceremony that US exports to China surged 23 percent in the first 11 months of the year to hit US$53.9 billion.

 

(Xinhua News Agency December 14, 2006)