Trump, Xi speak over phone on trade issues

US President Donald Trump on Thursday had "a long and very good" talks with his Chinese counterpart Xi Jinping on the escalating trade issues between the two countries.

Just had a long and very good conversation with President Xi Jinping of China. We talked about many subjects, with a heavy emphasis on Trade, Trump tweeted.

"Those discussions are moving along nicely with meetings being scheduled at the G-20 in Argentina. Also had good discussion on North Korea! Trump said after he talked to Xi over phone.

The two world leaders are scheduled to meet in Argentina on the sidelines of the G-20 summit on November 30 and December 1.

Later, the White House's Chief Economic Advisor, Larry Kudlow told reporters that the scheduled meeting between Trump and Xi would be more than formal on the sidelines of the G-20 summit and might include a dinner.

He described the phone call as very positive.

"It looks like they are focusing on trade. That's a good thing," he said.

Although there's no hundred per cent certainty, it does suggest that when they meet again in Buenos Aires, they have a bilateral. There may be more. The plans are still evolving, and the trade will be on the agenda, he said.

Kudlow said that Xi will be giving a speech at a trade conference in Shanghai later this month. I look forward to seeing what's in there regarding trade, he said. So, there may be a little though going on here. I don't want to take it too far. There may be a little though in that, he added.

Responding to a question, Kudlow said the president has said if US gets a good satisfactory deal, he would not impose new taxes on China.

He might even remove some tariffs. But that requires a very satisfactory deal. Those are his words, not mine, he said.

Kudlow clarified that Trump now is not removing tariffs at all.

He is just saying if the Chinese respond and improve, and they deliver the goods -- technology, ownership, IP, tariffs -- and they start playing by the rules, then yes tariffs could be removed, he said.

But that's a big if. I don't want to get ahead of the story, Kudlow said.