Chinese President Hu Jintao held talks with his visiting Uruguayan counterpart Tabare Vazquez?in Beijing on?Monday. They agreed to promote bilateral relations to a higher level.

Chinese President Hu Jintao (L) hosts a welcoming ceremony for Uruguayan President Tabare Vazquez at the Great Hall of the People in Beijing, capital of China, March 23, 2009. [Yao Dawei/Xinhua]

During the meeting, Uruguay recognized the full market status of Chinese economy, according to press release from the Chinese Foreign Ministry.

Hu spoke positively about Uruguay's adherence to the one-China policy and its firm support on issues concerning Taiwan and Tibet. He highlighted the rapid growth of bilateral relations since the two forged diplomatic relationship 21 years ago.

China has become the third biggest trading partner of Uruguay and the two sides have enjoyed close coordination and cooperation in regional and international issues, Hu said.

Vazquez said the two countries have made important progress in cooperation in various fields since they established diplomatic relations.

The two sides share broad consensus on many major issues. Both sides support peaceful resolution to international disputes and oppose interference of other country's internal affairs, Vazquez said.

The growth of bilateral relations will serve the interests of both nations and their peoples, Vazquez added.

Hu suggested the two sides strengthen political relations and expand dialogues at various levels. He also called for expanded cooperation in investment, trade and technology for their mutual benefits.

He named agriculture, fishery, product quality inspection, software and engineering technology consultation as fields where cooperation should be strengthened.

"The Chinese government encourages its companies to start businesses and invest in Uruguay and is willing to boost bilateral cooperation in energy, information technology industry, biological technology and agricultural technology", Hu said.

He also proposed the two nations boost cultural and people-to-people exchanges by expanding cooperation in culture, education, sports, media, and tourism sectors.

"China will make joint efforts with developing countries, including Uruguay, to address global challenges such as the current international financial crisis in an aim to maintain and promote peace, stability and development", the Chinese president said.

He added that China supports the integration process of the Common Market of the South and is willing to develop friendly and cooperative ties with its member states.

The two heads of the state also consulted on the international financial crisis.

Hu said China is willing to strengthen cooperation with developing countries including Uruguay to jointly face up to various global challenges such as the financial crisis, and safeguard and promote peace, stability and development across the world.

He said China attaches high importance to the G20 Summit scheduled for April 2 in London and is committed to intensifying dialogue and communication with the participating parties to ensure the summit will produce positive outcomes.

Vazquez stressed the necessity for the establishment of a new international financial order and expressed his hope the summit will lead to positive results that will help alleviate the impact of the financial crisis on developing countries.

After the talks, the two presidents witnessed a signing of a number of bilateral agreements.

At the invitation of Hu, Vazquez arrived in Beijing Saturday morning for a six-day state visit.

Vazquez will leave Beijing for a visit to Shanghai on March 24.

This is President Vazquez's first visit to China since he took office in 2005.

(Xinhua News Agency March 24, 2009)