China is aiming to launch an unmanned rover on the moons surface by 2012 and a manned mission to the moon by around 2020.
"China is doing all the things one would need to do in order to go to the moon" - Dean Cheng, an expert on Chinas space programme at the US-based research firm CNA Corp.
China further signalled its ambition last September when three "taikonauts" on board Shenzhou VII conducted the countrys first spacewalk.
Chinese scientists have shown off a prototype Moon rover that could lead to the country's first unmanned mission to the lunar surface in 2012. The 1.5m high, 200kg rover should transmit video in real time, dig into and analyse soil, and produce 3D images of the lunar surface.