European Union's trade chief, Peter Mandelson has criticized a 15-year-old European arms embargo on China, saying it was high time to lift the ban given the rapidly developing relations between the two sides.

Speaking in a press conference after the meeting with China's vice premier, Wu Yi and Commerce Minister Bo Xilai, the EU trade chief says maintaining the ban is not reasonable.

The United States has voiced strong opposition to the lifting of the weapons embargo, saying European weapons sales to China could transfer hi-tech military know-how to China, thus breaking the military balance in Asia.

To this, Mandelson believes the key question is not whether the ban stays or goes but what replaces it, adding that a clear and strong code of conduct for arms sales will do the job.

Mandelson says talks with Chinese leaders also focused on deepening strategic relations between Europe and China.

He says as members of the 148-nation WTO edge closer to a year-end summit in Hong Kong, they are trying to spur treaty talks that have been dragging on for more than four years.

"We agree that an ambitious deal has to be wrapped up successfully by the end of 2006 or early 2007. We both agree on the need to accelerate negotiations, and we both want a balance of Doha deal," said Mandelson.

On intellectual property rights, he notes both parties have agreed to set up a joint expert group to nail down enforcement of the IPR protection, which he believes is the major problem in China's IPR issues.

When asked about the issue of granting China the market economy status, the top trade negotiator says China should take more efforts to meet the relevant criteria, and pledges the determination to move forward with China.

This is Mandelson's first visit to China since he took office in November 2004.

Source: CRI news