The South Korean president is expected to send a delegation to Beijing to discuss both North Korea and THAAD.
During the call, Moon told Xi that South Korean people and companies in China "are going through many difficulties", and said he hoped Xi could "pay special attention so the restrictions and sanctions could be smoothly resolved", Yoon said.
"President Trump and President Moon agreed to continue to strengthen the United States-Republic of Korea alliance and to deepen the enduring friendship between our two countries".
Moon favours engagement with Pyongyang to bring it to the negotiating table, unlike his conservative predecessors and the US Trump administration, which backs stronger sanctions and has threatened military action. He has also made it amply clear he does not support the deployment of U.S. Terminal High Altitude Area Defense (THAAD), on his country's borders for which Trump has demanded South Korea pay $1 billion.
Beijing's displeasure over THAAD has reportedly been felt by South Korean businesses, particularly Lotte, the South Korean conglomerate that signed off on a land swap deal with the government to provide a site for the THAAD launch systems in late February. He has said he would be prepared to go to Pyongyang "if the conditions are right".
Tension on the Korean peninsula has been high for months over North Korea's nuclear and missile development and fears it will conduct a sixth nuclear test or another ballistic missile test in defiance of UN Security Council resolutions.
Giant squid carcass washes up on remote Indonesian beach
Now, the dead animal has become a bit of a local celebrity, as residents stop by to catch a glimpse of whatever it might be. The giant creature is believed to have been dead for at least three days by the time it was spotted on the shores.
Seoul has argued that under a bilateral agreement, Washington is financially responsible for the deployment, operation and maintenance of the THAAD battery with Seoul providing the land to host it.
Xi told Moon that Seoul and Beijing should respect each other's concerns, set aside their differences, seek common ground and handle disputes appropriately, China's foreign ministry said in a statement.
Moon's pick for National Intelligence Service chief is Suh Hoon, a longtime intelligence official Moon said would be the right man to push reforms at NIS, which has always been accused of meddling in domestic politics.
But in a 25-minute conversation, Moon and Japanese Prime Minister Shinzo Abe said they hoped to meet at an early date and exchanged invitations to visit, according to both sides.
Tokyo has been concerned that Mr Moon will take a tough line on feuds stemming from the bitter legacy of its 1910-1945 colonisation of the Korean peninsula and could fray ties at a time when cooperation on North Korea is vital.
Moon also raised the issue of economic retaliation against South Korean firms in China, Yoon said.