Sanchez's visit to China has seen him meet top officials including President Xi Jinping and call for "dialogue and cooperation" with the world's second largest economy.
The trip comes against the backdrop of mounting trade tensions between the European Union and China, primarily over Beijing's subsidies for its electric vehicles sector.
Speaking at the inauguration of the Spain-China Business Forum in economic powerhouse city Shanghai, Sanchez called for a "a European Union and a China open to the world, beyond geopolitical and economic tensions".
"That's why we are betting on honest dialogue to solve existing tensions, that result in large part from the imposition of tariffs on Chinese electric vehicles," he added.
"And what do we propose from Spain? A solution negotiated and agreed in the WTO framework, that contributes to developing balanced and fair and avoids commercial escalation that benefits no-one," Sanchez said.
The European Commission, which oversees the bloc's trade policy, announced last month that it planned to impose five-year import duties of up to 36 percent on electric vehicles imported from China.
The following day, Beijing said it would launch a probe into EU subsidies of some dairy products exported to China.
In June China launched an anti-dumping investigation into pork imports from the bloc in response to an application submitted by a local trade grouping on behalf of domestic producers.
The Iberian nation is the EU's largest exporter of pork products to China, selling more than 560,000 tonnes to the world's second-largest economy last year at a total value of 1.2 billion euros ($1.3 billion), according to industry body Interporc.
In China's capital Monday, Sanchez called for Madrid and Beijing to defend what he called a "fair trade order".
"We must work together to resolve differences through negotiation, in a spirit of dialogue and collaboration, and within multilateral frameworks," he wrote on social media after meeting President Xi.
Spain's PM meets Xi, pushes 'fair trade order' on China trip
Beijing (AFP) Sept 9, 2024 -
Spanish Prime Minister Pedro Sanchez called on Monday for a "fair trade order" during a visit to China where he met leader Xi Jinping and aimed to boost ties despite a tariff standoff between Beijing and the European Union.
Xi called on the two sides to "jointly promote development in AI, the digital economy, new energy, and other high-tech fields", according to state broadcaster CCTV.
"I hope Spain will continue to provide a just, fair, secure, non-discriminatory business environment for Chinese companies investing and operating in Spain," he said.
Sanchez wrote on social media platform X after his meeting with Xi that there were many challenges, including "the climate emergency, threats to international peace and stability, and the fight against poverty and inequality".
"We must work together to resolve differences through negotiation, in a spirit of dialogue and collaboration, and within multilateral frameworks," he said.
Sanchez earlier met counterpart Premier Li Qiang at Beijing's ornate Great Hall of the People, telling him Spain "wishes to continue strengthening its relations with China".
"We want to build bridges to defend together a fair trade order," he said in a post on X.
This, he said, "allows our economies to grow and benefits our industries and citizens".
Sanchez's trip will take him to Shanghai on Tuesday and Wednesday, where he will meet local officials and businesses as well as inaugurate a new Cervantes Institute cultural centre.
Sanchez hailed "strong ties" between China and Spain at a forum in Beijing on Monday.
"Even on those issues where our positions do not fully coincide, we maintain a constructive willingness to engage in dialogue and cooperation," he said in a video of his remarks shared on his social media.
Sanchez also met the Spain-China Business Advisory Council on Monday as part of efforts to "deepen trade and investment relations".
The Spanish premier also met Xi during his last visit to China in March 2023 and took part in the Boao Forum for Asia -- similar to the World Economic Forum held in Davos -- in China's Hainan province.
- Trade tensions -
His arrival in Beijing came shortly after Venezuelan opposition figure Edmundo Gonzalez Urrutia -- who insists he, not strongman Nicolas Maduro, is the country's legitimate president-elect -- fled into exile in Spain.
Sanchez described Gonzalez Urrutia as "a hero who Spain will not abandon" while speaking at a socialist party meeting on Saturday.
Beijing enjoys close ties with Maduro's government.
Sanchez's visit also comes against the backdrop of mounting trade tensions between the European Union and China.
The European Commission, which oversees the bloc's trade policy, announced last month that it planned to impose five-year import duties of up to 36 percent on electric vehicles imported from China.
Beijing also launched a probe last month into EU subsidies for some dairy products imported into China.
China also launched an anti-dumping investigation into pork imports from the bloc in June in response to an application submitted by a local trade grouping on behalf of domestic producers.
The Iberian nation is the EU's largest exporter of pork products to China, selling more than 560,000 tonnes to the world's second-largest economy last year at a total value of 1.2 billion euros ($1.3 billion), according to industry body Interporc.
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