Peter Mathews, president of the Midlands World Trade Forum, is with the Prime Minister in China and India this week as part of a European delegation to strengthen trade links between Europe and Asia.

Mr Mathews was personally invited on the trip by the CBI and Downing Street because of his experience of international trade and his work with UK Trade and Investment, the Government's international trade arm.

The UK is leading the mission to Asia as part of its presidency of the EU.

The recent blocks put on textiles imports from the Far East to Europe mean the visit could not have come at a better time as both sides worked to find a way around the impasse.

Mr Mathews said: "I am a great believer in free trade.

"The quotas and tariffs that are being imposed are causing concern. All we have to do is reflect on the international steel price when the US government placed a protective tariff on their steel industry during 2003.

"Part of this trip is to attempt to bolster relations between the European Union and China and India and make it clear there is a need for us to work more closely together as the world becomes smaller in economic terms.

"The purchase of MG Rover by a Chinese company proves they are keen to expand their interests in industry internationally. With a huge population and growing industry it is obvious China and India will soon rival the US as a superpower, something we in Europe have to balance."

The MWTF, supported by Birmingham and Black Country Chambers of Commerce and sponsored by the Royal Bank of Scotland, is the region's largest international trade group. It has more than 400 member companies made up of experienced and novice exporters from all sectors that trade with countries all over the world.

Meanwhile, China is this week expected to clinch a deal to buy aircraft from European planemaker Airbus - creating potential work for aerospace component manufacturers in the West Midlands.

China Southern Airlines, the country's biggest carrier, is set to buy ten A330 jets from Airbus at a list price of about $1.3 billion. If sealed, the order represents a minor victory for Airbus as it vies with rival Boeing to dominate the global aircraft industry.

The agreement will be part of a batch of contracts valued at about £2 billion due to be signed between UK firms and China and India during Mr Blair's tour of the two countries.

The number of routes between China and Europe is expected to rise to 114 by 2023, compared with 26 in 2003, a Boeing study shows, while there were 45 routes linking China and Japan last year compared with nine in 1990.

In India, the cabinet last month set up a panel to hold final talks with Airbus for the purchase of 43 aircraft. Finance minister Palaniappan Chidambaram said then the negotiations on the $2 billion (£1.09 billion) deal to acquire aircraft for state-run domestic carrier Indian Airlines could be wrapped up in September.

Indian airlines have been modernising their fleets and expanding as their government has deregulated a sector once straitjacketed by red tape.

India's government said in May it expected airline industry growth to increase 20 per cent a year.