"China is such a big country that I imagine in only a short time the United States will be a colony of China," he said at a press conference in the central city of Cochabamba following a recent trip to Beijing.

Morales said he had agreed with his Chinese counterpart Hu Jintao on the formation of a high-level bilateral committee to begin meeting in September to promote the industrialization of Bolivia's vast lithium resources.

China "is such a big country, so highly developed and industrialized that it is granting importance to Bolivia," added Morales, the leftist leader of one of South America's poorest countries.

Bolivia has an estimated 70 percent of the world's reserves of lithium, a mineral used in rechargeable batteries for laptops, mobile phones and electric cars.

Morales would like Bolivia to produce batteries, but has yet to reach a deal with an international partner that could supply the considerable capital required for such an undertaking.

Last year Morales commissioned a Chinese company to construct a satellite for Bolivia at a cost of $300 million, expected to be launched in 2013.

Bolivia has also purchased six Chinese combat aircraft at a cost of $58 million in order to combat drug trafficking.

Li, the expected successor to Premier Wen Jiabao as head of China's day-to-day administration, is making a three-day visit to Hong Kong and plans to speak about economic ties with the semi-autonomous territory.

Hong Kong's Chief Executive Donald Tsang led the dignitaries greeting Li at the airport, where the 56-year-old vice premier said he would announce new measures to boost Hong Kong's profile as a trade and finance hub.

The visit "shows the central government's concern and support for Hong Kong's development", Li told reporters, adding that "I hope to see more and listen more to deepen my understanding of Hong Kong."

Unofficially, Li is aiming to boost his own profile as Wen's term draws to a close in 2013, giving him "a precious opportunity to demonstrate his worth", said Willy Lam, a history professor at Chinese University of Hong Kong.

"(The trip) tells us about the political jockeying going on in Beijing ahead of next year's once-in-a-decade leadership change," Lam told AFP.

"Li has been cautious to a fault over the past few years and for good reason -- his power is not secure," he added.

But only the most senior Chinese politicians make official visits to Hong Kong -- a former British colony returned to China in 1997 -- so the trip all but guarantees that Li will be China's next premier, Lam said.

Li's high-powered delegation includes Commerce Minister Chen Deming, People's Bank of China Governor Zhou Xiaochuan and National Development and Reform Commission chairman Zhang Ping.

The visit comes amid strained relations with Hong Kong, despite increasing economic integration which has seen the city become a test bed for Beijing's bid to turn the yuan into a global currency to rival the US dollar.

Tensions flared last month when Wang Guangya, director of the Hong Kong and Macau Affairs Office of the Chinese State Council, or cabinet, said local officials' colonial-era roots meant they "don't know how to be a boss".

Hong Kong maintains its own political and legal system under the "one country, two systems" model, and guarantees civil liberties not seen on the mainland.

Li will try to "endear himself to Hong Kong" and underscore that Beijing's hands-off policy toward the territory remains unchanged, Lam said.

He added that Li would likely avoid commenting on calls for political reform in the territory after the violent unrest that has spread across the Middle East.

The senior Chinese official had no plans for an official meeting with city lawmakers, unlike US Secretary of State Hillary Clinton during a recent visit.

"They have always avoided direct contact with legislators," said prominent lawmaker Albert Ho, chairman of the Democratic Party.

"(Chinese officials) are not used to having dialogue with people of different political persuasions," he added.

Hong Kong's government faces rising public anger over soaring property prices, while several protests have called on Beijing to speed up promised political reforms, including direct elections for the territory's leader.

Small protests were expected during Li's visit, with activists calling for the release of political detainees and more information about a recent high-speed train crash in eastern China that killed at least 40 people.

Li, a former Communist Party chief in the northeastern industrial province of Liaoning, was China's youngest provincial governor, taking charge of the central province of Henan at the age of 43.