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> XML just doesn't provide a way to represent the Unicode character U+0000. So you're going to have to choose a nonstandard application-specific representation to achieve your goal. Rather than screw around with pseudo-JSON \u... constructs, I'd pick a codepoint in a Unicode Private Use Area, and agree that it's a stand-in for U+0000.
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But if you need a representation that can handle any possible sequence of Unicode codepoints losslessly, then you're going to need some kind of escaping or markup, and pretty-well anything you choose is going to be inconvenient to process.
Michael Kay
Saxonica
