Visiting Spanish Prime Minister Pedro Sanchez said during his trip to China that he hopes the European Union could avoid a trade war with Beijing.

Sanchez held talks with central government leaders including President Xi Jinping and Premier Li Qiang on Monday.

Xi called on China and Spain to build long-term and stable relations with strategic determination, and push bilateral relations to a higher level, during talks with the Spanish leader.

“We hope that Spain will continue to provide a fair, equitable, safe and non-discriminatory business environment for Chinese companies to invest and do business in,” Xi said, according to CCTV.

The president also called on Beijing and Madrid to jointly promote development in AI, the digital economy, new energy, and other high-tech fields.

Sanchez said, “Spain supports the principles of free trade and open markets and does not support a trade war.”

"A trade war would benefit no one," he said, adding that he's seeking to create a level playing field in cooperation with Chinese companies.

In his meeting with Li, Sanchez said Spain wishes to continue strengthening its relations with China.

"We want to build bridges to defend together a fair trade order," Sanchez said in a post on X. This, he said, "allows our economies to grow and benefits our industries and citizens".

Sanchez's trip will take him to Shanghai on Tuesday and Wednesday, where he'll attend business events and the inauguration of a Cervantes Institute cultural centre.

China and European Union are locked in a row over electric vehicles as Brussels weighs imposing tariffs on China-manufactured EVs.

Beijing described such a move as unfair and protectionist. (Xinhua and agencies)