Beijing's relations with Tokyo are improving, and both sides should overcome political differences to expand cooperation, China's Vice Premier Zhang Gaoli told a mission of more than 200 Japanese businessmen in Beijing on Wednesday.

He noted Chinese President Xi Jinping met with Prime Minister Shinzo Abe this month and said ties have taken a turn for the better, according to an official accompanying the group.

Zhang also said both sides need to make efforts to manage "sensitive issues" such as the touchy question of Japan's wartime actions and the sovereignty of the Senkaku Islands, the official said.