On June 25, 2012, Chinese Premier Wen Jiabao attended a video conference with the leaders of the Common Market of the South (Mercosur), including President of Argentina (rotating presidency of Mercosur) Cristina Fernandez, Brazilian President Dilma Rousseff and Uruguayan President Jose Mujica in Buenos Aires, capital of Argentina. The leaders exchanged views on deepening bilateral relations and strengthening economic and trade cooperation and reached broad consensus.

Premier Wen said since it was founded over 20 years ago, Mercosur has played an important role in promoting the dialogue and cooperation with countries and organizations outside the region. The status and influence of Mercosur in regional affairs were significantly improved. The economic and trade ties between China and Mercosur are getting increasingly close. China has become the second largest trading partner of Mercosur and the second largest export market for Mercosur. Premier Wen said that he visited Brazil, Uruguay and Argentina for the past several days and had fruitful talks with the leaders of the three countries. Many important agreements between China and the three countries were signed. The relations between China and the three countries were upgraded to a higher level. In the context of the international financial crisis and facing the complicated and fluctuating international situation, China and Mercosur have broad common interests. The two sides have great potentials and broad prospects for cooperation. Such cooperation will bring more benefits to the countries and peoples concerned and push forward South-South cooperation. It will enhance the overall strength of developing countries and guide adjustments and changes in the international political and economic patterns.

Premier Wen made the following recommendations:

First, to strengthen strategic communication and mutual trust. The two sides will hold foreign ministers' dialogue within the year to coordinate the positions on major international and regional issues and have close coordination in multilateral fields. He congratulated Brazil on successfully holding the UN Conference on Sustainable Development and injecting new vitalities into global sustainable development.

Second, to deepen pragmatic cooperation. The two sides need to earnestly implement the consensus reached by both sides, optimize trade structure, enhance product competitiveness, and strive to double the trade volume between China and Mercosur by 2016 from the level of 2011 and bring it to $200 billion; the two sides should expand cooperation in mutual investment, finance and science & technology and greatly improve the quality of bilateral economic and trade relationship; the two sides should conduct a feasibility study on the establishment of China-Mercosur free trade area, jointly promote the construction of transport networks in the South American region, and safeguard the interests of developing countries in the multilateral trading system.

Third, to enhance the friendship between the people. The two sides should expand personnel exchanges as well as tourism, cultural and educational exchanges and enhance mutual understanding so as to lay a solid social foundation for the development of bilateral relations.

Premier Wen said that the meeting is a landmark event in the history of exchanges between China and Mercosur. China is willing to work with Mercosur to seize opportunities and meet challenges together, promote common development, and bring bilateral friendly cooperative relations to a higher level.

President Cristina Fernandez said when the international financial crisis and the European debt crisis are far from being resolved and when the world economic growth is still weak, further strengthening cooperation with China is conducive to enhancing the economic vitality of the Mercosur countries and will provide a rare historical opportunity for its development. She expressed the hope that the two sides could find innovative cooperation models and expand cooperation in economy, trade, technology, energy and other areas.

President Dilma Rousseff thanked Premier Wen for attending and addressing the UN Conference on Sustainable Development and playing an important role in helping the conference achieve positive results. She said that in the current situation, strengthening cooperation with China has an important strategic significance to Mercosur for it not only conforms to the common interests of both sides, but also will produce a positive impact on South America.

President Jose Mujica thanked China for the help and support to the Mercosur countries. He said that strengthening cooperation with China on the basis of equality and mutual benefits will help Mercosur respond effectively to the international financial crisis and achieve common development.

The meeting reached an agreement on issuing the Joint Statement between the People's Republic of China and the Common Market of the South on Further Strengthening Economic and Trade Cooperation.