Chinese Premier Wen Jiabao said German Chancellor Angela Merkel's visit to China has "historic significance," as the two leaders held talks in Beijing Friday.

At the talks in the Great Hall of the People, Wen and Merkel exchanged views on bilateral and international issues in a friendly and candid manner.

"When the financial crisis took hold last January, China and Germany overcame the hardships by working together," Wen said, acknowledging that both countries worked hard to overcome the crisis.

Wen said at this current point in time, China and Germany should join hands to build a comprehensive, strategic partnership covering politics, economics and culture.

China's response to the crisis has proved effective and is creating opportunities for other economies, including Germany's, Merkel said.

She noted Germany also adopted stimulus measures, adding that she believes both countries need to discuss what can be done to overcome the crisis.

"Both Germany and China are export-driven economies, and both nations hope for a strong real economy. I myself prioritize the real economy and a sound financial foundation in particular," Merkel said, speaking in German.

Hailing the Germany-China strategic partnership, Merkel said both sides should make their desires specific.

Merkel also said a joint communique to be signed during the visit shall establish regular bilateral meetings.

Prior to the talks, Wen hosted a red-carpet welcome ceremony for Merkel at the Great Hall of the People.

During Merkel's stay in Beijing, she will also meet with Chinese President Hu Jintao and Vice President Xi Jinping.

Besides Beijing, Merkel will visit Xi'an in northwest China's Shaanxi Province.

The visit is Merkel's fourth to China since she took office.