LISBON, Oct. 25 (Xinhua) -- China and the European Union (EU) agreed here Thursday to promote dialogue and cooperation to better cope with challenges in an increasingly globalized world, where both sides share various common interests.

In the third round China-EU strategic dialogue, both sides reached a consensus that enhanced dialogue and cooperation would be in conformity with the fundamental interests of both sides, and would also contribute to world peace, stability and development, according to sources with the Chinese delegation.

During the discussion, Chinese Vice Foreign Minister Zhang Yesui and the EU "troika" led by Portuguese Secretary of State for Foreign Affairs and Cooperation Joao Gomes Cravinho exchanged views on Sino-EU relations and a wide range of international and regional issues of common concern, said the sources.

China and the EU held their first round strategic dialogue in London in December 2005. The second round was held in Beijing in June 2006.