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"China takes the initiative to reduce production capacity based on its own national conditions. The efforts are to make the growth model and economic structure shift to new economic drivers," he added.

The agreement between the two state news agencies, mainly aimed at video and new media, will contribute to mutual understanding and friendly relations, as China and Morocco have entered a new phase of bilateral strategic partnership, said He.

Key technologies will be on top of agenda, including independent research and development. Innovative development in fields such as new materials and robots will be accelerated.

Xi pointed out that the Terminal High Altitude Area Defense (THAAD) installation jeopardizes the strategic balance in the region and is unhelpful to denuclearizing the Korean Peninsula and maintaining regional peace and stability.

"The SCO's founding principles, featuring mutual trust, mutual benefit, equality, respect for cultural diversity and common development, have received wide recognition. In fact, far more countries have expressed readiness to join in than we expected," he added.