Cooperation best for both, Xi tells Trump

United States,president,Donald Trump

US president Donald Trump says ‘big progress’ on possible China trade deal

After Trump's telephonic conversation with Xi on Saturday on the ongoing trade talks, Trump tweeted "Just had a long and very good call with President Xi of China". When he is come, he will be very comprehensive, all topics and all areas and sticking points to treat, stressed the President.

In his message to Trump, Xi said that China-US relations have experienced ups and downs, but have made historic progress over the past four decades, China's Xinhua news agency said.

In the same year, late paramount leader Deng Xiaoping, often credited with China's "Reform and Opening" policy which led to its economic transformation, met USA president Jimmy Carter in the United States.

China and the United States have been locked in a trade war for much of 2018, shaking world financial markets as the flow of hundreds of billions of dollars worth of goods between the world's two largest economies has been disrupted by tariffs.

Chinese President Xi Jinping has delivered a New Year's speech, reiterating the government's stance of protecting national sovereignty and security.

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Trump sent his own congratulatory message in return, saying it was his priority to promote cooperative and constructive US-China relations, Xinhua added.

China is willing to work with the United States to summarize the experience of 40 years of the development of China-U.S. relations, and strengthen exchanges and cooperation in fields of economy and trade, military, law enforcement, anti-drug operations, local issues and culture, Xi said.

The White House says the tariffs are a response to China's unfair trade policies, which Mr Trump blames for helping to create a huge trade deficit.

Trump has touted occasional announcements of US job creation as proof that his strategy is working. File photo: White House.

Prior to Saturday's call, there had been small signs of progress - and the absence of new threats from Trump.

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In December, China's major state-owned grain stockpiler said that it had resumed buying USA soya beans, and Beijing announced that it would suspend extra tariffs on US-made cars and auto parts starting Jan 1.

China is also targeting intellectual property theft in the country - one of the main sticking points in the dispute with the US.

China's factory activity contracted for the first time in over two years in December, as it seeks to end its bruising trade war with Washington and reduce the risk of a sharper economic slowdown in 2019.

Xi Jinping. File photo: GovHK. Details of the trade deal is not yet out.

"The Chinese and USA economic and trade teams have always maintained close communication", commerce ministry spokesman Gao Feng said at a regular briefing.

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Negotiators from both countries have been in touch over recent weeks and face-to-face talks could take place in January.

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