President Donald Trump wants to reach an agreement on trade with Chinese President Xi Jinping at the Group of 20 nations summit in Argentina later this month and has asked key United States officials to begin drafting potential terms, according to four people familiar with the matter.
Stock markets in China gained on Friday after US President Donald Trump said trade talks with Beijing were "moving along nicely".
Trump has imposed penalty tariffs of up to 25 per cent on $250 billion U.S. of Chinese goods in a dispute over Beijing's plans for state-led development of technology industries.
The push for a possible deal with China was prompted by the President's telephone call with Mr Xi on Thursday (Nov 1), the people said, requesting anonymity to discuss internal deliberations. "We talked about many subjects, with a heavy emphasis on Trade". He said further meetings with Xi are being scheduled for the G-20 summit of the world's biggest economies, set for November 30 in Buenos Aires, the first ever such summit in South America.
The moves also follow media reports that pointed to progress on the US-China trade dispute.
However, "policy talks" will determine whether he imposes additional duties, "not an arbitrary timeline", said Kudlow, who served as the Trump campaign's senior economic adviser.
The US and China's tit-for-tat tariffs on each other's goods have rumbled on for months as Trump pledges to help create more US manufacturing jobs.
Xi on Thursday said he looks forward to meeting with Trump in Argentina and hopes the two sides build stable relations, according to China's state media.
On Thursday, the U.S. accused a Chinese state-owned company of conspiring to steal trade secrets of USA chip-maker Micron Technology Inc as part of a Justice Department crackdown against China in cases of suspected economic espionage.
Meeting a group of Republican lawmakers in Beijing, China's Li noted the China-US relationship's "ups and downs" over the past four decades of diplomatic ties.
'We do hope that China and the United States will meet each other halfway and work together in the spirit of mutual respect and equality, ' Li told Trump's fellow Republicans.
US Senator Lamar Alexander of Tennessee told Li that the delegation was there "to show our respect to a great country and a great people", and that the two countries "are competitors but not adversaries".
On Wednesday, US Secretary of State Mike Pompeo said China was probably Washington's biggest long term security challenge and the United States was engaged in a "multi-pronged effort.to convince China to behave like a normal nation on commerce" and respect worldwide law.
"He wants to do it", Mr Trump said of Mr Xi. "We have a new deal", he said adding that the USA is now negotiating with the European Union, which "has absolutely hurt" the United States.
Beijing responded by introducing reciprocal tariffs on US-made goods.