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Former World Bank chief economist Justin Yifu Lin said the move would help clear distortions and bottlenecks in the economy, and boost development through comparative advantage.

The prime minister also wishes the upcoming summit between China and EU could achieve positive results.

He said China would further open up its market to ASEAN, with a target of increasing trade volume with ASEAN to 1 trillion U.S. dollars by 2020 from 400 billion dollars in 2012. He also proposed to establish an Asian Infrastructure Development Bank to help countries in the region develop much-needed infrastructure like roads and railways.

First, leaders of the two countries should keep the good tradition of frequent mutual visits, increase communication on major issues and strengthen top-level design of bilateral relations, said Xi.

Second, APEC members should maintain economic and financial stability in the Asia-Pacific through factual assessment of the situation and cool-headed response to the challenges, Xi said.