BEIJING, Dec 6: German Chancellor Gerhard Schroeder arrived in China on Monday reiterating his support for lifting an EU arms embargo against the country and overseeing a raft of business deals.

Citing a "very close political dialogue" with Beijing, Mr Schroeder told China's official Xinhua news agency the two sides had "common concerns" on strengthening the United Nations, fighting terrorism and solving crises like the North Korean nuclear issue.

But the embargo was a key issue in Schroeder's talks. Following a meeting with Chinese Premier Wen Jiabao, he told a news conference he still supported the end to the embargo and would work for a consensus among EU countries for its early lifting.

"I still think the weapons embargo should be lifted," Mr Schroeder told reporters. "I hope that the summit between the EU and China that takes place on Wednesday will give an important signal in this direction."

While Mr Schroeder favours removing the ban, the German parliament voted at the end of October for it to be maintained. The European parliament followed suit in mid-November.

Several EU countries have cited China's human rights record as a concern and Beijing is expected to enlist Mr Schroeder's help to allay these fears before the annual EU-China summit in The Hague this week.

Mr Schroeder denied Germany was hoping to sell weapons to China and Chinese Premier Wen Jiabao told the press conference Beijing was not in a hurry to purchase European weapons.

"The embargo is a product of the Cold War that is not in accordance with the full strategic partnership between the EU and China," Mr Wen said. "As chancellor Schroeder said, if China presses to lift the embargo, it is not that it is in a hurry to buy European weapons. It is against discrimination."

Accompanied by Interior Minister Otto Schily and Transport Minister Manfred Stolpe, as well as a 30-strong delegation of German industrial leaders looking to tap the vast Chinese market, Mr Schroeder is expected to oversee a raft of deals. -AFP