Bloodshed on the Korean peninsula would be a "national tragedy", a Chinese diplomat told a UN Security Council meeting that ended in stalemate on how to handle the crisis, state media said Monday.

The comments by Wang Min, China's deputy permanent envoy to the United Nations, came before Seoul launched a live-fire military exercise on an island bombarded by the North last month, despite Pyongyang's warnings of retaliation.

Wang told an emergency Security Council meeting that "bloodshed and conflict would lead to a national tragedy of fratricide" between the two Koreas, damage regional stability and affect neighbouring countries, Xinhua news agency said.

The meeting at the UN failed to agree a statement on the crisis, and Russia warned that the international community was now left without "a game plan" to counter escalating tensions.

Diplomats said China, North Korea's main ally, had fended off Western demands that Pyongyang be publicly condemned for the deadly November 23 artillery assault on Yeonpyeong island, where the South staged Monday's drill.

They said Beijing had even rejected a proposed statement which did not mention North Korea or the name of Yeonpyeong.

Four people including two civilians were killed in the November shelling.

Wang told the council that China had made "unremitting efforts" with both North and South Korea as well as other concerned parties to avoid an escalation of the situation, Xinhua said.

"China is firmly against any act that can lead to the escalation of tensions and undermines regional peace and stability," Wang was quoted as saying, urging all concerned parties to return to the negotiating table.

The Chinese foreign ministry did not immediately respond to an AFP request for comment about the South Korean military drill on Yeonpyeong island.