The leaders of China and France on Thursday called on the European Union to lift its arms embargo against China that has been in place since 1989 and grant China market economy status.

"The two sides believe that the European Union should take the EU-China expanding partnership into full consideration, most notably by lifting the arms embargo which is no longer pertinent to the present situation," said a joint statement signed by Chinese President Hu Jintao and his French counterpart Jacques Chirac after their talks in Beijing.

The joint statement also called on the European Union to grant China market economy status as soon as possible.

The two leaders vowed to continue their efforts to deepen the comprehensive strategic partnership between China and the European Union, according to the joint statement.

They also agreed that, in order to solve the problems that have emerged in the China-EU trade relations, both China and the European Union should conduct dialogue and negotiations based on an equal footing and in accordance with WTO regulations.

UN Security Council cooperation

China and France will further strengthen communication and cooperation in the UN Security Council to solve regional issues, said the joint statement.

The statement said the two sides are happy with their close cooperation at the Security Council and on regional issues, and will make further efforts in this regard.

Both sides are satisfied with their participation in the UN Interim Forces in Lebanon, and hope the conflict in Lebanon can be permanently settled.

The two countries also called for adherence to Resolution 1696 passed by the Security Council on the Iran nuclear issue, according to the joint statement.

The joint statement said the two countries will keep in close and regular contact and work to find a peaceful solution of the Iran nuclear issue.

China and France also expressed serious concern over the nuclear test announced by the Democratic People's Republic of Korea (DPRK) on October 9, saying the test goes against the goal of denuclearization of the Korean Peninsula, as well as efforts of the international community to strengthen international non-proliferation.

The joint statement said the two countries support the Security Council Resolution 1718, and urge the DPRK to abide by its commitment to denuclearization of the peninsula.

The two sides hope all parties will stick to peaceful resolution of the nuclear issue through dialogue and consultation, and strive for an early resumption of the six-party talks, the joint statement said.

The two countries also agree to keep close consultation and work together to realize denuclearization, peace and stability of the Korean Peninsula and northeast Asia.

Chirac is in China on a four-day state visit at the invitation of Hu Jintao.