By Tim Hepher and Emmanuel Jarry

BEIJING (Reuters) - French President Nicolas Sarkozy brought his trademark directness to China on Monday, publicly urging President Hu Jintao to let the yuan rise more swiftly and cajoling Beijing to do more to respect human rights.

Hu listened impassively as Sarkozy, fresh from overseeing the signing of business deals worth nearly $30 billion, praised China but said it had to shoulder growing responsibilities on issues such as the environment and exchange rates.

"We need to arrive at currency rates that are harmonious and fair," Sarkozy said with the frankness that has become the hallmark of his young presidency.

"This means that, for its own sake as well, China needs to accelerate the appreciation of the yuan against the euro," he said at a joint media appearance with Hu in the Great Hall of the People off Tiananmen Square.

The European Union, which has overtaken the United States this year as China's largest trading partner, has been ratcheting up pressure on Beijing to correct what it sees as the yuan's unfair undervaluation.

It has also fallen in line with Washington by taking a harder line on trade issues such as intellectual piracy and barriers to Chinese markets.

EU Trade Commissioner Peter Mandelson irked China with a warning that its reputation was at risk after a series of product safety scandals and that it must do more to tackle the problem.

Vice Premier Wu Yi, known as China's "Iron Lady", was upset by Mandelson's remarks, made at a conference in Beijing. "I am extremely dissatisfied," an angry-sounding Wu told reporters.