Chinese President Xi Jinping bestowed Putin with the inaugural Friendship Medal of the People's Republic of China, for, among other things, "safeguarding world peace".
Putin and Battulga are in Qingdao for the 18th Shanghai Cooperation Organization summit.
While he's taken a tougher stance on traditional USA allies, Trump - who remains under investigation as part of an inquiry into potential collusion between his presidential campaign and the Kremlin - has charted a warmer course with Russian President Vladimir Putin.
"I see this as an acknowledgement and an evaluation of Russia's efforts to develop a comprehensive strategic partnership with China", he said.
"Everyone demonstrated solidarity with London over a certain event in Salisbury but nothing concrete was said again", Putin said.
Russian Federation was formerly a member of the group, then known as G-8, but was suspended after its annexation of Crimea in 2014.
Russian President Vladimir Putin has scoffed at the G-7's accusations against Russia as mere "chatter".
Trump was heading into a bigger controversy over trade as other G7 leaders, including host Canadian Prime Minister Justin Trudeau, have been angered by Washington's imposition of tariffs on steel and aluminium imported from allies including Canada and the European Union.
Peskov's comments come a day after Trump called for Russian Federation to be readmitted to the group of the world's leading nations, known as the G7, a step that would end Russia's worldwide isolation over its 2014 annexation of Crimea from Ukraine. Trump has said he was open to having a summit with Putin, who USA intelligence officials have said directed Russian meddling in the 2016 election to help Trump win.
"We are not going to live with the deals the way they are", Trump said. Trump said in Washington as he was departing for the summit in Canada.
Both leaders also issued a joint declaration pledging to preserve the worldwide accord on Iran's nuclear programme which the USA withdrew from last month.
"We share and agree with the United Kingdom's assessment that it is highly likely that the Russian Federation was responsible for the attack, and that there is no plausible alternative explanation", the G7 statement said.
Iran's President Hassan Rouhani, whose country is an observer member, also attended the meeting as he seeks Chinese and Russian support following the United States withdrawal from the nuclear deal with Tehran.
The leaders of China and Russia Sunday praised the expansion of their regional security bloc at a summit which put on a show of unity contrasting with the acrimonious G7 meeting.
Putin noted that Russian Federation and China have emphasized the need for talks to reduce tensions.