CARBIS BAY, England—Leaders of the Group of Seven wealthy democracies on Sunday called on China to respect human rights as President Biden seeks to build an international coalition to counter Chinese influence.

Despite some initial concerns from several European leaders that forceful language might antagonize China, the final communiqué released on Sunday at the close of the first in-person G-7 summit in almost two years named Beijing but fell short of an outright condemnation.

The statement called on China to respect human rights and freedom, particularly in the northwestern Chinese region of Xinjiang and in Hong Kong. It also laid out plans to counter Chinese influence in developing nations with the G-7 clubbing together to fund infrastructure projects. The group of rich nations also called for a transparent probe into the origins of Covid-19.

Human-rights groups and the U.S. and U.K. governments have alleged that Chinese authorities are committing genocide against ethnic Uyghurs, a Muslim minority group, and using forced labor in Xinjiang. The Chinese government has called the allegations lies, saying it is combating terrorism and improving livelihoods in Xinjiang.

In Hong Kong, China has cracked down on opposition figures and stifled criticism, using a new security law that it has imposed on the former British territory.

The statement also said the G-7 would continue to consult on collective approaches to “challenging [China’s] non-market policies and practices which undermine the fair and transparent operation of the global economy.”

U.S. officials cast the China language as a major step forward for the G-7, saying it was stronger language than agreed in past G-7 statements.

The three-day gathering at a beachside resort in southern England saw a return to more conventional U.S. diplomacy under Mr. Biden, who used the event to showcase America’s desire to partner with other rich democracies to challenge China and other autocracies around the world.

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The meeting capped the first phase of Mr. Biden’s first international tour as president. Following the meeting, Mr. Biden is scheduled to go to Windsor Castle for tea with Queen Elizabeth II and then head to Brussels for the next phase of his trip, which includes a summit with leaders of the North Atlantic Treaty Organization. He will then travel to Switzerland to meet Russian President Vladimir Putin, with relations between Washington and Moscow at post-Cold War lows.

The joint statement on Sunday also signed off on numerous initiatives including to donate one billion Covid-19 vaccine doses to poorer nations over the next year, end government subsidies for foreign coal projects and place a minimum 15% tax on large multinationals. The G-7 leaders called for a “timely and transparent” probe by the World Health Organization into the origins of Covid-19.

This is a developing story and will update

Write to Max Colchester at max.colchester@wsj.com and Andrew Restuccia at andrew.restuccia@wsj.com