At time of writing, Trump is scheduled to meet Chinese authorities in a few weeks, with the potential outlook of a breakthrough in prolonged trade tensions representing an investment opportunity for financial markets to further unwind of Dollars positions.
Speaking to reporters at the White House before departing for a campaign event, Trump confirmed that he would meet with Chinese President Xi Jinping when they are in Argentina for a November 30-Dec.
The ruling party needs to nurture conditions to "let the private economy create vitality", said Xi in a speech Thursday to a group of entrepreneurs, according to the official Xinhua News Agency.
"Those discussions are moving along nicely", Trump wrote on Twitter. "They very much want to make a deal".
He said the two countries "are competitors but not adversaries". "They all want to do it".
Discord has already arisen among Trump's trade team: U.S. trade representative Robert Lighthizer is opposed to a push for a deal at the G20, according to two of the people.
But Larry Kudlow, Trump's top economic adviser, sounded a more cautious note on CNBC Friday. "That's a good thing", he said. "And let's see what happens", Trump said at a White House event.
"We've talked about trade".
Trump has a history of agreeing in principle to deals before backing out. And he has previously made concessions to USA adversaries that have drawn backlash from both Democrats and Republicans.
Despite the promise offered by the Trump-Xi telephone call, the level of tension between the two nations was demonstrated just hours after it ended when the United States filed charges against Chinese technology firm Fujian Jinhua Integrated Circuit Co and its Taiwanese partner. The decision was roundly lambasted in Congress.
"We've had very good discussions with China".
"Trump's so-called directive to his staff to draft an agreement is either a hollow gesture or an ostentatious move, or both", he said. He backed out on a deal congressional Democrats said they struck with Trump to provide legal status to young undocumented immigrants.
The fight with U.S. President Donald Trump has added to pressure on communist leaders to rev up economic activity that has weakened since Beijing clamped down on bank lending a year ago to rein in surging debt. Trump administration officials have said that trade talks with China can not resume until Beijing comes up with specific actions it is willing take to meet United States demands for sweeping changes to policies on technology transfers, industrial subsidies and market access. The Hang Seng Index rose 4.2 percent, the biggest gain since 2011, and the Shanghai Composite Index climbed 2.7 percent, posting a fourth day of gains for its longest winning streak since February.
China and the United States are locked in a trade war, and both countries have already placed tariffs on some of each others' imports.
The direct talks were the first between the two leaders to have been reported since May.
Just after the upbeat readouts of the Trump-Xi call, the Justice Department announced the latest in a long list of actions against what Trump administration calls China's cheating through intellectual property theft, unfair corporate subsidies and rules hampering USA corporations in China.
James Zimmerman, a partner with the Beijing office of law firm Perkins Coie and former chairman of the American Chamber of Commerce in China, questioned Trump's sincerity with regards to a possible trade deal.