The president noted that the agreement has served to narrow the distance between the two countries and inspired greater trade enthusiasm.

Trade volume between the two countries reached 14.673 billion U.S. dollars in 2007, a significant increase of 65 percent from 2006 and an amazing hike compared with the 2001 figure of 2.118 billion dollars, according to statistics provided by the Chinese Ministry of Commerce.

Chile's export to China in 2007 hit 10.257 billion dollars, a jump of 78.8 percent from 2006's figure, showed by figures from the ministry.

Noting that China has become Chile's No. 1 trade partner, Bachelet said Chile is fully aware that its development is closely linked with Asia, and with China in particular.

She said the two countries should further enhance their economic integration, look into the future and strive for new markets in third countries for joint development, rather than focusing only on bilateral trade balance.

She also suggested that the two countries boost cooperation in such fields as culture, education, environment and national defense.

In anticipation of her forthcoming China visit, Bachelet said she expects to finalize the related articles on service trade in the second phase of the free trade agreement.

The president expected the deal, whose second-phase term is still under discussion, to serve as a solid foundation for further growth of bilateral political, economic and trade ties.