China's vice premier told an Australian audience he is eager to "reduce mistrust" between the two nations.

Li Keqiang told business leaders Friday that China wants better ties and hopes for progress on long-stalled free-trade agreement negotiations, The Sydney Morning Herald reported.

He called on both governments to ''oppose various forms of protectionism'' and said he hoped Australia would ''continue to promote a non-discriminatory policy on foreign investment.''

Recent Chinese attempts to acquire interests in Australian companies have generated political controversy. One Australian businessman said he received death threats after speaking in favor of Chinese investment.

The Chinese see resistance by Australia's Foreign Investment Review Board to Chinese efforts as "a very racial policy," Li said.

Former Australian prime minister Bob Hawke applauded efforts to improve the relationship between the countries.

''I think it is an intelligent assessment by both countries that we are important to each other," he said.