China said on Thursday September 5th that it will restart negotiations with the United States in Washington in early October, voicing concern that further punitive tariffs would lead to a deadlock in the prolonged talks, according to AFP.
The world's two biggest economies have been embroiled in a tense year-long tariffs row, which escalated on September 1st when both sides placed steep tariffs on tens of billions of goods.
In a phone call with US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin on Thursday, Vice Premier Liu He agreed to postpone the talks, previously scheduled to resume this month, until October, China's Ministry of Commerce said.
At a regular news briefing, Commerce Ministry spokesperson Gao Feng said that there would be "comprehensive preparations" for the meetings by both sides and that the next round of negotiations would "strive to achieve substantive progress.”
The news is considered a sign of optimism in a trade war that has weighed on the global economy and stock markets while also shaking diplomatic relations between the two superpowers.
Right after the announcement made by the spokesperson on Thursday, equities in Asia jumped with Shanghai adding 1% and Tokyo up more than 2%.