Chinese Premier Li Qiang and US Treasury Secretary Janet Yellen have agreed to continue dialogue to stabilize the tense bilateral relationship between their countries.

In a meeting held in Beijing on Sunday, Li said the two countries should step up dialogue and manage differences to maintain a stable overall relationship.

He said China sincerely hopes the two countries will become partners, not competitors.

Yellen responded that, as the world's two largest economies, they have a duty to their own countries and to the world to responsibly manage their complex relationship and to cooperate and show leadership on addressing pressing global challenges.

Yellen met with Vice Premier He Lifeng, who oversees China's monetary and economic policies, in the southern Chinese city of Guangzhou on Friday and Saturday.

They agreed to hold intensive exchanges on China's industrial overcapacity in electric vehicles and other sectors.

The US and China have been at odds with each other over China's policy of granting subsidies to EV manufacturers and US export restrictions on semiconductors.

Attention is focused on whether the exchanges will lead to a stabilization of their relationship.