The conference was held on Thursday by the E-business World Magazine, which is run by the China Electronic Commerce Association, a nationwide non-profit organization under the Ministry of Information Industry.

The trade volume of China's e-commerce, which includes B2B (business-to-business) trading, B2C (business-to-consumer) trading and C2C (consumer-to-consumer) trading, has grown by 50 to 60 percent over the past couple of years.

China's total online transactions grew 52 percent over 2005 to 1.1 trillion yuan in 2006, according to a report released by China Center for Information Industry Development Consulting.

Currently, 99 percent of China's 42 million companies are small- and medium-sized, but only three percent of them made deals over the Internet, according to the report.

Despite the fast growth, experts warn that China's e-commerce still faces challenges stemming from a lack of policies and a credit system.

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