Kim was in China for a four-day trip, marking his fourth visit to the neighboring ally in about 10 months.

Xi strongly supported Kim's meeting with Trump and hoped the two will find common ground, adding that China is ready to play a "positive" and "constructive" role in the process. 

"China hopes that the DPRK and the United States will meet each other halfway," he was quoted as saying. "China stands ready to work with the DPRK and relevant parties to play a positive and constructive role in maintaining peace and stability and realizing denuclearization on the peninsula and lasting peace and stability in the region."

Xinhua also said that Kim and Xi agreed to make efforts for continuous "new development," a "political settlement process of the Korean Peninsula" and "more benefits" for the people of the two countries and that they would contribute to peace and stability, prosperity and development of the region and beyond.

Kim's trip to China, which was made at the invitation of Beijing, came amid speculation that a second summit between the North's leader and US President Donald Trump is imminent.

Pyongyang and Washington have been locked in a stalemate over how to carry out the agreements they reached in their first-ever summit in June, at which Kim promised to work toward complete denuclearization in exchange for security guarantees from the US.

Progress has been slow ever since as the North wants sanctions relief, while the US remains firm that sanctions will remain in place until the North completely gives up its nuclear weapons program. 

In his New Year's Day speech, Kim warned that he could go a new way if the United States clings to pressure and sanctions on the North's regime. But he kept the door open for talks with the US, saying he is willing to meet Trump at any time.

Trump earlier said that the US and North Korea are in talks over where to hold their second summit and a decision on the venue will be announced in the "not-too-distant future."

Experts think Kim's China trip was intended to discuss strategies with his closest ally ahead of a possible summit with Trump, adding that it also appears aimed at strengthening the North's negotiating leverage by demonstrating its strong ties with Beijing.

During his trip to Beijing, Xi hosted a dinner reception for Kim on Tuesday night, the 35th birthday of the North Korean leader.

Kim also toured an industrial site in Beijing on Wednesday before heading back home late in the day. (Yonhap)