Editor's note: President Xi Jinping on Friday held bilateral meetings with foreign leaders on the sidelines of the ongoing 31st APEC Economic Leaders' Meeting in Lima, Peru.

The China-Japan relationship is at a critical phase for its improvement and development, President Xi Jinping said in his meeting with Japanese Prime Minister Shigeru Ishiba in Peru's Lima on Friday.

Xi voiced his hope that Tokyo will work with Beijing to "establish correct perception of each other" and stay committed to the right direction of the relations from a strategic height and global perspective.

Japan should translate the important political consensus reached by the two sides into concrete policies and practical actions, properly handle major, fundamental matters such as the history issue and the Taiwan question, constructively manage differences, and safeguard the political foundation of the relations, he added.

The two sides should deepen and expand cultural and subnational exchanges to promote mutual understanding between the two peoples, especially the younger generation, he said.

The economic interests, production and supply chains of China and Japan are deeply intertwined, and the two sides should defend the global free trade system as well as the stability and smooth flow of the production and supply chains, said the president.

The two sides should strengthen collaboration on international and regional affairs, practice genuine multilateralism and promote a regionalism of openness, he said.

For his part, Ishiba said it is of great significance for both nations to work together to fully advance the Japan-China strategic and mutually beneficial relationship and build a constructive and stable Japan-China relationship.

On the Taiwan question, Japan's position of adhering to the Japan-China Joint Communique in 1972 has not changed at all, he said.

Japan sticks to the principles and consensus established in the four key Japan-China political documents, adheres to the path of peaceful development, and is willing to engage in candid dialogues at various levels with China, said the prime minister.

Tokyo has no intention of "decoupling" and disrupting the production and supply chains with China, he said.

During the talks, the two sides agreed to maintain high-level exchanges, and make good use of their high-level dialogue mechanism in areas such as the economy and people-to-people exchanges.