"China's suspension-for-suspension proposal has proven to be a right prescription for the problem in creating the basic conditions needed for improving inter-Korea relations" Wang said.
"The fact is that China's double suspension proposal worked as a medicine and was proved to lay the best groundwork for improvement in North-South relations", Wang added.
China's "dual freeze" proposal, unveiled past year during Wang's press conference, involves halting both nuclear and missiles tests in exchange for the suspension of U.S.
On Tuesday, the South Korean government announced President Moon Jae In and North Korean leader Kim Jong Un will meet.
Spokesperson Geng Shuang made the remarks at a routine news briefing when asked for comments on a report by Washington-based Center for Global Development, which said China's Belt and Road Initiative could increase debt risks for countries like Pakistan, Montenegro and Djibouti.
China "fully commends and supports" the steps taken by the two countries and urges the USA and North Korea, "to engage in dialogue sooner rather than later" and move to set up a peace-establishing mechanism, Yi said.
Wang also emphasized what he called the key role played in China's more pro-active foreign policy by President Xi Jinping, who is likely to remain leader indefinitely after the legislature lifts presidential term limits.
He and Suh Hoon (C), head of the National Intelligence Service, will head to Japan, Russia and China to brief them on the developments.
China will host the SCO summit in the port of Qingdao in June. "History has reminded us time and again that whenever tensions subsided on the peninsula the situation would be clouded by various interferences", he said. Last year, trade between the two sides exceeded 500 billion US dollars, and two-way visits totaled 40 million, benefiting almost 2 billion people, according to Wang.
"China will continue to put forth tireless efforts to this end", Wang concluded. Pyongyang's security concerns should be addressed in return for a pledge to denuclearize, he said.