With concerns growing that rivalry between the USA and China could escalate, Mr Xi warned against going down that road. "We will be working with Pacific Island nations at their invitation wherever we have that opportunity, consistent with the programs that we're running".
"History has shown that confrontation, whether in the form of a cold war, a hot war or a trade war, will produce no winners", he told leaders gathered in Papua New Guinea's capital for the summit.
He also announced the U.S. would join with Australia in the development of a new naval base.
U.S. President Donald Trump, who is not attending the APEC meeting, is due to meet Chinese President Xi Jinping in Argentina.
"Together, we can open a new horizon for the common development and prosperity of the Asia-Pacific and the world at large", Xi said.
Xi lashed out at "America First" trade protectionism and stressed that global trade rules should not be applied "with double standards or selfish agendas" - in a thinly veiled swipe at Washington.
Trump is pressing China to reduce its huge bilateral trade surplus and make sweeping changes to its policies on trade, technology transfers and high-tech industrial subsidies.
"China has taken advantage of the United States for many, many years and those days are over", Pence said. The US imposed tariffs on $200 billion of Chinese imports in September and has threatened to extend this to nearly all of China's exports to the US.
The deal was originally created to act as a counterbalance to China's growing economic influence in the region.
In a keynote speech to the business leaders, Xi urged the worldwide community to hold on to the right direction of world economy and work out an efficient global governance system.
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Israelis learned about the latest Gaza ceasefire following a two-day, 500-rocket barrage from the likes of Hamas and Al Jazeera. The Egyptian-brokered truce was announced by Gaza militant groups, including Hamas, on Tuesday.
She also met briefly with Canadian Prime Minister Justin Trudeau.
President Rodrigo Duterte's recent pronouncements on China's actions in the disputed South China Sea may be used against the Philippines, an analyst said Saturday.
The back and forth between the two Philippine voices comes as member states of the Association of Southeast Asian Nations are caught between the competing interests of the United States and China, a reality that Singaporean President Lee Hsien Loong articulated this week.
Pence also attacked China's global infrastructure "Belt and Road" initiative, calling numerous projects low quality and saying it left developing countries with debt they were unable to afford.
Prime Minister Tun Dr Mahathir Mohamad speaks at a press conference in Port Moresby, Papua New Guinea, on November 17, 2018.
Also revealed was the new US$400 million Indo-Pacific Transparency Initiative to "empower citizens to combat corruption and strengthen sovereignty".
Ms Peters said the standoff between China and the U.S. in the Pacific is increasingly causing nearby countries to look at New Zealand "with fresh eyes" for leadership and representation. The United States deals openly, fairly.
The APEC summit has developed into a tussle for influence between an increasingly assertive China and a more withdrawn US.
It was then time for Chinese President Xi Jinping to take the stage.
"We are witnessing a rising tide of trade protectionism along with financial volatility in some emerging economies", Morrison said.