BEIJING - China's investment in Europe should not be politicized, urged Vice-Foreign Minister Fu Ying during a diplomatic forum in Beijing Friday afternoon.

"Successful investment should be reciprocal. We hope our economic activities are not interpreted from a political prospective and are not imbued with political interests. We should follow market economy principles," Fu said at the fifth Lanting Forum themed China-Europe relations under new situations.

She was disparaging of a recent trend emanating out of the Global Financial Crisis in the "western community" that politicized issues concerning China.

"Many European countries show their understanding and support to us, while there were still some negative reports," Fu said.

"We should treat each other with a moderate and impartial mentality. That will make the bilateral relations easier to handle," Fu said.

She cited an investment bid by a Chinese company in Iceland that was turned down by the country's government.

Nevertheless, Fu also cited some successful cases of China's investment to other European countries and called on Chinese companies to learn and adapt to the European market.

The vice-foreign minister also called on the European side to "show sincerity" in overcoming obstacles hindering the development of China-Europe relations.

"China's market economy status and lifting of arms sales embargo are two biggest obstacles, which concerning the two sides' mutual understanding and trust," she said.

Fu stressed that if the two sides want to go beyond a "business relationship" and conduct higher-level cooperation, build up strategic cooperation, they should overcome those obstacles.

Fu also reaffirmed that China will continue to pursue the reform and opening-up policy no matter whether the embargo is lifted or not.The Lanting Forum, initiated by the Ministry of Foreign Affairs, is a platform for communication and exchanges between government, the business community, academia, media and the public.

It aims to create a new channel to facilitate discussions on foreign policy and issues of common interest by concerned parties.