Foreign Ministry spokeswoman Zhang Qiyue said China's human rights protection had never been better and slammed the embargo as an outdated "product of the Cold War."

"We are firmly against the linking of this decision with the so-called China human rights issues. I think China has made lots of achievement in its efforts in human rights issues, and this is widely acknowledged," Zhang said.

"In the past 20 years, China has worked hard at improving the subsistence level among its people. More than 200 million have been lifted out of poverty, there is nothing more important than that."

She said China has already taken measures to improve its judiciary and social security systems to strengthen its protection of the poor and needy.

"Chinese people are enjoying a high level of human rights and freedom," Zhang said. "China's human rights situation is at its best in history -- I think all countries, including Europe, have to recognise that."

China has long called for the lifting of the ban, which it said was not consistent with the existing strategic partnerships between China and Europe.

The 25-member European Union signalled Monday it may be heading towards lifting the embargo, despite pressure from rights groups and Washington.

Bernard Bot, foreign minister of the Netherlands which holds the EU presidency, said in Luxembourg on Monday that there was no direct linkage between the lifting of the arms ban and the issue of human rights.

"But on the other hand we would welcome of course positive signals on Chinese side," he said, citing for example ratification of an international convention on civil and political rights, and the release of prisoners still jailed since the 1989 Tiananmen Square events.

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