Defence Minister George Fernandes on Tuesday met China's Foreign Minister Li Zhaoxing and held talks on bilateral, international and regional issues of common concern.

"The two sides had an exchange of views on Sino-Indian relations and international and regional issues of common concern," the official Xinhua news agency reported.

Fernandes is the first Indian minister to meet Li who was appointed foreign minister last month during a sweeping leadership change here.

Fernandes is on a week-long official visit. This is his first trip to China and also the first visit by an Indian defence minister to the country in 11 years. The last was by Sharad Pawar in 1992.

On Monday, Chinese Premier Wen Jiabao and Defence Minister General Cao Gangchuan held talks with Fernandes separately.

Indian Ambassador to China Shivshankar Menon as well as other members of the Indian delegation was present during the parleys.

Sources said the Defence Minister's talks with senior Chinese leadership would pave the way for a visit by Prime Minister Atal Bihari Vajpayee later this year.

"The trip, during which Fernandes would visit People's Liberation Army military establishments around Beijing, Xian and Shanghai, is expected to contribute to the building of greater trust and goodwill between the two large Asian neighbours," they said.

Fernandes took time out from his schedule to visit the Great Wall of China, one of the seven wonders of the world. The Great Wall, situated some 70 km away from Beijing, is one of China's main tourist attractions, luring millions of tourists – including presidents and prime ministers – every year.

Fernandes and his delegation also visited the Palace Museum located in the heart of Beijing. The museum, which is also known as the 'Forbidden City', was built during the Ming and Qing dynasties. Some 1.95 million pieces of rare treasures and cultural relics are housed in the huge complex, listed as one of the world's natural and cultural heritages by UNESCO.