China today said its "huge dispute" with India over Arunachal Pradesh is an "undeniable fact" even as it echoed Prime Minister Narendra Modi's views that the two countries should create favourable conditions for a mutually-acceptable settlement of the vexed boundary issue.

"There is a huge dispute in the eastern border of China-India border. This is undeniable fact," Chinese Foreign Ministry spokesperson Hu Chunying told media here when asked about Indian Government extending controversial Armed Forces Special Powers Act (AFSPA) in Arunachal Pradesh.

"China always holds consistent and clear position on the China-India boundary question. The two sides should make joint efforts to maintain peace tranquillity of the border area and create favourable conditions for the negotiation of the boundary question," she said.

Arunachal Pradesh shares a 1,126 km border with China and 520 km border with Myanmar. China claims Arunachal Pradesh as part of southern Tibet.