In 1989, the two governments established a committee for economic, trade, science and technology cooperation, which has held six meetings so far. In 1991, the two governments signed a new trade agreement, replacing governmental accounts-keeping transaction with cash transaction. In the same year, the two governments signed an agreement protecting investments. China and Mongolia develops economic and trade cooperation on the basis of equality and mutual benefit, which include contracting and labor service between firms and enterprises from the two countries. Up to the year 2000, there are about 400 China-Mongolia Joint enterprises in Mongolia.
China is the biggest large investor in Mongolia.
Since 1985, besides governmental trade, the two countries have also initiated cross-border trade. Currently, Chinese regions and departments involved in cross-border trade with Mongolia include China's Inner Mongolia Autonomous Region, Xinjiang Uygur Autonomous Region, Ningxia Hui Autonomous Region, Hebei Province, Jilin Province. Sino-Mongolian cultural links was established in 1951. In 1997, a cultural delegation sent by Chinese government and led by Cultural Minister Liu Zhongde visited Mongolia, which was the first visit by a Chinese Cultural Minister to Mongolia since the establishment of diplomatic relations. In 1998, Mongolian Education Minister led a government delegation to China.