US President Donald Trump (R) and China's President Xi Jinping (L) along with members of their delegations, hold a dinner meeting at the end of the G20 Leaders' Summit in Buenos Aires on December 1 2018.
Trump agreed to hold off on his threat to slap 25 per cent tariffs on US$200 billion (S$274 billion) worth of Chinese goods from January 1, leaving them at the current 10 per cent rate.
Trump and Xi also "agreed to immediately begin negotiations on structural changes with respect to forced technology transfer, intellectual property protection, non-tariff barriers, cyber intrusions and cyber theft, services and agriculture", according to the White House statement.
Duties of 10% now on most of those goods are set to rise on January 1, 2019 to a whopping 25% if a deal isn't reached. Those items are part of a group of $267 billion in additional imports from China that Trump was thinking about taxing.
"And I think at some point, we're going to end up doing something which is great for China and great for the United States", Trump told reporters before the meeting.
The President of the United States, Donald J. Trump, and President Xi Jinping of China, have just concluded what both have said was a "highly successful meeting" between themselves and their most senior representatives in Buenos Aires, Argentina.
"No magic wand has been waved to make the differences between the United States and China vanish overnight", the state-run China Daily warned.
China is the world's biggest vehicle market both in terms of demand and supply.
Chinese shares, commodities and the yuan currency surged even as uncertainly remains about the deal.
They added that China's economy will continue to cool regardless under the weight of weakening domestic demand.
"This is a relief rally", said Paul Kitney, chief equity strategist at Daiwa Capital Markets in Hong Kong.
The Saudi crown prince was thumbing his nose at the United States with his chumminess toward Putin and his insistence, despite USA entreaties, to continue exploring the purchase of an S-400 air-defense system from Russian Federation. "At the same time, the Kingdom looks forward to working with Japan, G20 Presidency in 2019, to further advance the G20 goals of addressing global economic challenges and promoting sustainable, inclusive and balanced world growth". Chinese officials discussed the possibility of lowering tariffs on US auto imports before Xi met Trump in Argentina, according to a person familiar with the situation who asked not to be identified. China will be opening up, China will be getting rid of tariffs.
There are also differences in the Chinese and USA accounts of what was agreed.
The Chinese agreed to buy a substantial amount to USA agriculture, energy and industrial goods, although the amount has not been finalized, according to the White House. He said there were three sites under consideration, but he declined to name them.
China's state-run media cautiously welcomed the Buenos Aires agreement.
In July, Qualcomm - the world's biggest smartphone-chip maker - walked away from a $44 billion deal to buy NXP after failing to secure Chinese regulatory approval, becoming a high-profile victim of the China-U.S. trade dispute.
Xi also reiterated China's stance on the Taiwan issue and the US side pledged to continue to adhere to the one-China policy.
For Beijing-based political consultant Hua Po, "this was a rare opportunity for China" to capitalise on what they saw as Trump's compromised position after the midterms.