(Bloomberg) -- China’s Vice Premier Liu He will resume negotiations with his U.S. counterparts in Washington Wednesday as both governments push towards an agreement to end their protracted trade dispute.
The latest round of talks follow discussions last week in Beijing when U.S. Treasury Secretary Steven Mnuchin and Trade Representative Robert Lighthizer met Liu and others to push toward resolution on issues around protection for intellectual property and how to enforce any broader trade agreement.
China touted “new progress” after last week’s talks and both sides have been working line-by-line through the text of an agreement that can be put before Trump and Xi, according to people familiar with the matter. China has already announced various concessions and pledged to open up industries in steps that could help pave the way for an accord.
Global markets have rallied this year in anticipation that both governments will reach a deal. Any hint that the talks have run into deadlock will unnerve investors and trigger fresh concerns for the world economy that’s already been rattled by tit for tat tariffs that the U.S. and China have imposed on each others goods.
Both countries have yet to agree on what happens to existing U.S. duties on Chinese goods and the terms of an enforcement mechanism to ensure China keeps to the trade deal, Financial Times reports, citing people briefed on the talks. Other than that, U.S. and China officials have resolved most of the issues surrounding the deal, the FT reported.