China Internet Corp (CIC), about 60 per cent owned by Xinhua, said the deal calls for it to repackage, promote and sell real-time business news from CNA, via the Internet, to subscribers in mainland China and Hong Kong.

Internet users will be able to subscribe to the product via China Internet's network of Web sites -- hongkong.com, China.com, taiwan.com and cww.com.

Beijing regards Taiwan as a renegade province that must be brought under its rule, putting the two frequently at odds. CIC officials hailed the deal as providing an information link between Taiwan and the mainland.

"The historic decision by the two parties to market the real-time business news service, under the brand China.com, marks the first step in a unique collaboration between the two prominent media groups in the development and delivery of on-line information services to Greater China," CIC said in a statement.

"Through this unique co-operation with CNA, CIC looks forward to opening a new page in delivering online information services to Greater China," the company added.

The CNA said in Taipei the deal had nothing to do with politics.

"We are only concerned about business, and the deal is strictly apolitical," said Tiao Hung-chih, director of the CNA's business information department.

"China Internet will not carry our political or general news services," Tiao said.

Tiao said China Internet would start carrying CNA business and financial wires on October 1 and profits would be split by the two parties.