The two sides would to hold further dialogue at "an appropriate time", Xinhua news agency reported.
The meeting - in the southern Chinese city of Shenzhen - was the first since violent protests by Tibetans in March.
Beijing says the Dalai Lama incited the violence. He denies this and accuses the government of human rights abuses.
The two Chinese delegates "answered patiently" questions raised by the two representatives of the Dalai Lama, Xinhua said.
But they told the representatives that recent unrest had created "new obstacles" to dialogue, it added.
The US welcomed the meeting. "We have long encouraged the resumption of a dialogue between Chinese authorities and the Dalai Lama," said White House spokesman Tony Fratto.
"We hope discussions can lead to better understanding."