President Barack Obama is calling for a "firm understanding" of how the United States and China will work together to resolve their differences on cybersecurity. Obama and Chinese President Xi Jinping began two days of meetings Friday at an estate in California.
The president and his Chinese counterpart met for more than two hours, and focused on the contentious issue of cybersecurity.
Obama said advances in technology have created a need for clear protocols about what is and is not acceptable for governments to do.
The U.S. accuses China of hacking into American government and business computer systems.
Xi said his country is "firm in upholding cybersecurity." He said China has also been hit with cyberattacks, but did not say who was responsible.
Before Friday's talks, Obama said areas of tension between the two countries are inevitable, but Washington and Beijing should work together.
"And the United States seeks an international economy and international economic order where nations are playing by the same rules, where trade is free and fair, and where the United States and China work together to address issues like cybersecurity and protection of intellectual property," said Obama.
Obama assured Xi that the United States welcomes the peaceful rise of China as a world power.
"It is in the United States' interests that China continues on the path of success, because we believe that a peaceful and stable and prosperous China is not only good for Chinese, but also good for the world and for the United States," said Obama.
The president mentioned efforts to curb North Korea's nuclear missile program as one of many areas of Sino-U.S. cooperation.
Xi said the China-U.S. relationship has reached a new historical starting point. He said he believes China and the United States can build a new model of a major-country relationship.