HELSINKI -- Japan's new leadership should remove political obstacle in bilateral relations by ending visits to the Yasukuni Shrine that honours convicted war criminals, said Premier Wen Jibao here on Monday night local time.

The top-level visits by Japanese leaders to the shrine, including that by Prime Minister Junichiro Koizumi, have deeply hurt feelings of Chinese and Asian people, which have also formed political obstacle in Sino-Japanese relations, according to Wen.

Chinese Premier Wen Jiabao shakes hands with Japanese Prime Minister Junichiro Koizumi during the ASEM Summit in Helsinki Fair Centre September 11, 2006. [Reuters]

China and Japan are neighbours that should have long-term friendship, said Wen, hoping the new Japanese leader could deal with the issue appropriately and normalize bilateral relations.

Last week, Shinzo Abe announced his candidacy to be Japan's new prime minister, a post he is widely believed to win.

The normalization of bilateral ties will benefit peoples of the two countries as well as the world peace, said Wen.

The visiting Chinese premier made the remarks when asked by reporters if he had any contacts with his Japanese counterpart Koizumi during the two-day sixth Asia-Europe Meeting (ASEM), which concluded on Monday. Leaders of 13 Asian countries mingled on the sideline of the summit.

Wen said that they just exchanged simple greetings, but did not have any other contacts.

The Chinese and South Korean leaders have refused to hold bilateral meetings with Koizumi, angered by his annual visits to the Yasukuni Shrine.

Turning to situation in Taiwan, where tens of thousands of people held protest against scandal-plagued leader Chen Shui-bian, Wen declined to make direct comment.

"This is the question that should be resolved by Taiwanese themselves," said Wen, but adding that the Central Government always pushes cross-Straits co-operation as well as the direct postal, transportation and business links between the two sides.

"We will continue to do things that are good for Taiwanese people, but will keep alert on speeches of Taiwan leader on Taiwan independence," he said.

Chen's scandal-related problems centre on allegations that his family and inner circle used their positions for personal financial gain.

Wen on Monday reiterated the strong support for Margaret Chan from Hong Kong to seek the post of director-general of the World Health Organization (WHO).

"The Central Government regards Margaret Chan as the best candidate for the post," said Wen, noting that he has asked foreign leaders he met on the sideline of the ASEM summit to support China's nomination.

Chan, 58, used to serves as WHO assistant director-general for communicable diseases. She joined the Geneva-based agency in 2003 after serving for four years as director of health in Hong Kong.

WHO will appoint a new Director-General in a meeting in November.

When meeting Chinese Embassy staff in Finland on Monday, Wen urged them to work hard to create a peaceful environment for China's development.

"China's development and construction is a long process, and we need peace, friends and time," he said.

Wen said that China's proposal of building a "harmonious world" has gained support from many leaders during the ASEM summit.