Berlin - Australia and Germany called Thursday for a halt to the latest outbreak of ethnic violence in China and appealed to those involved to exercise restraint.

"Restraint is required now on the part of all parties in order to bring a peaceful settlement to this difficulty," Australian Prime Minister Kevin Rudd said after talks with German Chancellor Angela Merkel in Berlin.

He was referring to "disturbing reports" of clashes between security forces and ethnic minority Uighurs in China's far western region of Xinjiang, which claimed more than 150 lives.

Merkel said Germany hoped for a peaceful resolution of the conflict, which erupted on Sunday.

"Everything needs to be done to contain the violence that has occurred," said Merkel, who is due to meet Chinese President Hu Jintao during the Group of Eight (G8) summit in the Italian town of L'Aquila this week.

Merkel said Germany supported Beijing's "one-China" policy but added such a policy had to include respect for the rights of minorities.

German officials said earlier that Merkel would tell Hu of the need to allow ethnic minorities to maintain their cultural identities and traditions when the two leaders meet.

She is also expected to condemn the high casualties and stress the right of people to press for freedom of expression and democratic rights as long as they did this peacefully. (dpa)