November 25, 2010 – China UnionPay and American Express recently announced that they have signed a memorandum of understanding that calls for both companies to explore the expansion of their current cooperative activities.

Two months ago, on September 14th, China UnionPay and MasterCard announced that both parties have signed a Memorandum of Understanding (MOU) for the establishment of a mutually beneficial relationship to explore future business development. The agreement may help boost revenue for both companies by adding locations where their cards are accepted. Both UnionPay and MasterCard will form working groups to discuss opportunities and formulate a business development plan. The MOU aims to forge a platform for potential cooperation including online payment and other areas.

China will overtake the U.S. as the largest market for credit cards by 2020 with about 900 million cards in circulation, MasterCard said recently. Total cards likely will increase 11% a year as transaction value climbs 14% annually until 2025, according to MasterCard.