To support regional economic integration, the two countries decided to promote accelerated infrastructure connectivity and economic development, including by enhancing energy transmission and encouraging free trade and greater people-to-people linkages.
As part of the understanding, the two sides will "oppose" terrorism, piracy and the proliferation of weapons of mass destruction within or from the region.
"We have also agreed to a new vision for Asia Pacific so that we are doing more together to advance our shared security and prosperity in this critical region," US President Barack Obama said in his media statement during joint press interaction here.
"Regional prosperity depends on security. We affirm the importance of safeguarding maritime security and ensuring freedom of navigation and over flight throughout the region, especially in the South China Sea.
"We call on all parties to avoid the threat or use of force and pursue resolution of territorial and maritime disputes through all peaceful means, in accordance with universally recognised principles of international law, including the United Nations Convention on the Law of the Sea," the statement said.
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