China, Papua New Guinea discuss free-trade deal

Beijing is vying with Australia to be Papua New Guinea's leading trading partner.

China and Papua New Guinea held talks on a free-trade deal on Friday, as Beijing's Foreign Minister wrapped up a landmark tour of the Pacific Islands with a stop in the resource-rich nation.

Papua New Guinea's Prime Minister James Marape said discussions in the capital Port Moresby had focused on economic cooperation and a long-mooted trade agreement.

China is already a major investor in Papua New Guinea and buys much of the country's gas, minerals, timber and other resources.

Beijing is vying with Australia to be Papua New Guinea's leading trading partner.

Mr. Marape, who has vowed to make his country the world's richest black Christian nation, said he wants to shift the economy away from primary materials to more lucrative finished products.

He has invited more Chinese investment and said work was ongoing on a trade deal.

"China and Papua New Guinea officials are going through tidying Chinese-PNG free-trade arrangements," Mr. Marape told journalists.