Japan and China on Wednesday pledged to work together on trade issues as Asia`s two largest economies fend off the impact of the global financial crisis.

Japan`s trade minister Toshihiro Nikai held talks with his Chinese counterpart Chen Deming on the sidelines of a two-day meeting of Asia-Pacific ministers in Lima.

`Both of us said Japan and China should work together over the WTO,` or World Trade Organization, Nikai told reporters.

Leaders from the G20 group of major developed and developing powers committed at a weekend summit in Washington to counter the financial crisis by breaking the deadlock by the end of the year in the Doha round of WTO talks.

In the third quarter of 2008, Japan slipped into recession for the first time in seven years while China`s economic growth slumped to 9.0 percent, its slowest pace in five years.

Nikai said he felt `high expectations` from the meeting of the Asia-Pacific Economic Cooperation (APEC) forum, which will culminate in a leaders` summit on Saturday and Sunday.

`Member economies said they want Japan to take the lead as Japan`s economic slowdown will affect other countries,` Nikai said, pointing to Tokyo`s introduction of an economic stimulus package.

Earlier this month, China also announced four trillion yuan (586 billion dollars) of economic stimulus measures described by Beijing as its ` biggest contribution to the world.`

Japan and China have been repairing relations since 2006 after a long freeze caused in part by friction of wartime memories.