What to do about Huawei, a Chinese tech company effectively blacklisted by the USA, will wait until the end of talks, though Mr. Trump said they agreed to let American companies sell components to the controversial firm.
Kim Hyesung has the details.
Trump announced today that the tariffs he has threatened to impose on billions of dollars worth of additional Chinese goods are on hold "for the time being".
"We're holding back on tariffs and they're going to buy farm products", he said at a news conference.
"We were very close, and then ... something happened where it slipped a little bit, and now we're getting a little bit closer", Mr. Trump said ahead of bilateral talks with Mr. Xi.
In kind, the Chinese government developed a list of "unreliable entities" that could target USA tech giants.
Huawei, which is considered a world leader in developing technologies to support 5G networks, has said banning the company from the United States would ultimately hurt American businesses and consumers.
China's Global Times, published by the ruling Communist Party's official People's Daily, said earlier on Saturday the world had to "contain capricious USA actions", pointing to examples like Mr Trump withdrawing from the Paris climate accord.
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"We are going to work with China where we left off", he said, declaring that relations with China are "right back on track".
It remains to be seen if the US and China can reach a deal on trade as the two still differ on USA demands over intellectual property protection and China's structural reform, among others.
During the previous trade talks, the United States had taken a hard stance while China, in some extent, had hoped to achieve quick results, said Su Hao, Director of Center for Strategic and Peace Studies, China Foreign Affairs University. In May, Trump signed an executive order blocking United States companies from doing business with Huawei.
'There's been no long range ballistic tests, ' the president noted, since his Singapore summit with Kim - although there were recent short-range tests. The impact on Huawei business was severe, and it will take a long time for the Chinese company to recover.
Trump said Kim responded to his offer, which Trump made on Twitter Saturday morning.
"The president expressed his concern at any efforts to curtail the efforts of Huawei to deliver a comprehensive, and what we believe to be an advanced solution in the telecommunications space", Diko said. US-China Trade War: Can India Offset Huawei's Global Losses Post US Ban? "So if the USA side can do what it says then we will certainly welcome that", Wang told reporters.
Last month, Mr Rubio and Democratic Senator Mark Warner urged Mr Trump not to use Huawei as a bargaining chip for trade negotiations.
At the request of our High Tech companies, and President Xi, I agreed to allow Chinese company Huawei to buy product from them which will not impact our National Security.