A closer cooperation on infrastructure projects between Australia and China is expected to emerge from the newly-signed deal that governments of the two nations hope would further strengthen their trade relations despite the tensions that recently arose.

Infrastructure Minister Anthony Albanese and Chinese Commerce Minister Chen Deming signed on Tuesday a memorandum of understanding (MOU) that officials of the two countries said would pave the way for deeper economic exchanges between Canberra and Beijing.

In a statement, Infrastructure department secretary Mike Mrdak called the MOU signing as solid testament to the closer ties that Australia and China enjoy.

"This memorandum of understanding that we're signing here today cements exchange, training and cooperation between our two governments and our two peoples," Mrdak was quoted as saying by the Australian Associated Press (AAP).

In signing the deal, Albanese said the Australian government looks forward for the faster facilitation of project planning, exchanging information on investment opportunities and technical expertise, training and education, and joint conferences with China.

Hosting Chen in Canberra yesterday, Albanese revealed too that the MOU could possibly lead to joint infrastructure project under the auspices of Australia and China.

To prepare for the implementation of the MOU provisions, the two governments, according to AAP, will set up a working group that will be tasked to lay out the blueprint of the joint projects.

The group will be composed of representatives coming from government departments, industry organisations and major financial and business partners, Albanese said.

The agreement was inked in the immediate aftermath of a brewing trade row between Canberra and Beijing that stemmed from the barring of Huawei Technologies, one of China's biggest giant corporations, into getting a supplier contract from the $36 billion national broadband network (NBN).

China branded the decision as unjust and unfair, specifically lamenting that Canberra has cited security risk as the main reason for keeping Huawei out of the NBN roll out.

The reasons raised by the Australian government, China said, were without bases.

And Chen brought out his government's grave concerns on the matter during his talks yesterday with Trade Minister Craig Emerson, according to Reuters, who had earlier declare that the Huawei row will not play a big role in the trade relations of Australia and China.

"I am confident of this: irrespective of the decision on Huawei, we will have a strong, flourishing commercial relationship and a good friendship with China," Emerson was quoted as saying by media reports prior to his meet with Chen.

Setting aside the Huawei wrinkle, Australia and China have been enjoying trade exchanges that deliver mutual benefits to the two nations.

In 2010 alone, Australian projects in China led to total investments of close to $12 billion while Beijing reciprocated with investment injections that amounted to some $20 billion on the same year, AAP said.

And the latest MOU, according to Emerson, will not only sustain the two countries flourishing trade relations but will also alter on how the world will regard China, which he added along with India, "will be net lenders in the 21st century."

"So the memorandum of understanding ... will involve encouraging more Chinese investment in Australian infrastructure," Emerson told Reuters.

But these future investments, he added, will still require the nod of the Foreign Investment Review Board (FIRB), which wields the power to reject or approve foreign-funded projects in Australia.