YEKATERINBURG, Russia -- Chinese President Hu Jintao on Tuesday met with his Iranian counterpart Mahmoud Ahmadinejad, and called for enhanced cooperation in the face of new challenges and opportunities.

Chinese President Hu Jintao (R) shakes hands with Iranian President Mahmoud Ahmadinejad in Yekaterinburg, Russia, June 16, 2009. [Xinhua]

Both leaders are here for the annual summit of the Shanghai Cooperation Organization (SCO). Iran is one of the SCO's observer nations.

Through joint efforts from both sides in recent years, bilateral relations have kept a sound momentum, Hu said.

Both leaders reached important consensus last year on an all-round development of Sino-Iranian relations, he said.

New progress has been made in the growth of bilateral ties in the past year with closer political contacts, expansion of cultural, educational and tourism exchanges, and advancing economic and trade cooperation,  Hu said.

The Chinese leader noted that the success of the 13th meeting of the bilateral joint committee on economy, trade, science and technology had  created better conditions for further growth of economic and trade cooperation.

China has been satisfied with the bilateral economic and trade achievements in the recent times, Hu said. He made a four proposals to promote bilateral cooperation.

Chinese President Hu Jintao (2nd R, front) has a meeting with Iranian President Mahmoud Ahmadinejad (3rd L) in Yekaterinburg, Russia, June 16, 2009. [Xinhua]

First, the two countries should keep high-level contacts, enhance mutual understanding and expand consensus.

Second, they should continue to push forward bilateral economic and trade cooperation, particularly on energy.

Third, they should to maintain communications to cope with the international financial crisis and safeguard the common interests of developing countries.

Fourth, both sides should expand cultural exchanges so as to deepen friendship forged in the long past.

Echoing Hu's proposals, Ahmadinejad said the two leaders had mapped out a bilateral cooperation blueprint during their meeting in Beijing last year.

Bilateral cooperation in various fields, economy in particular, has seen rapid progress, he said, describing it as conducive not only to both countries, but also to the world at large.

The Iranian president also expressed hope that the two sides would view their long-term economic and trade cooperation from a strategic perspective, implement the consensus between the two sides, expand exchanges, and turn challenges into opportunities in pursuit of a higher level of bilateral cooperation.

The two presidents also exchanged views on international issues of common concern.