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"We are well-positioned and capable of coping with various challenges, stabilizing market expectations and maintaining a sound economic development," he said.

"The two sides should enhance mutual trust and lay a more solid foundation for friendship," Xi said.

A series of accidents involving abandoned Japanese chemical and biochemical weapons, including many resulting in death, have occurred in China. Over the decades since the end of the WWII, the weapons' steel shells have corroded and leaked poison gas and other toxic substances.

China and Mongolia are friendly neighbors linked by mountains and rivers, said Xi, adding their relations are an important part in China's neighborhood diplomacy.

"His mother cried for a whole day in the hotel and she is not in good health," said Li Fei, a cousin of fireman Liu. "The parents have been to several hospitals and got no news."