The President cited "substantial progress" on trade talks with China, pointing to "important structural issues including intellectual property protection, technology transfer, agriculture, services, currency, and many other issues".
A top USA business lobby in China said on Tuesday that a majority of its member companies favored the United States retaining tariffs on Chinese goods while Washington and Beijing try to hammer out a deal to end a months-long trade war.
That helps explain Chinese state media's applause for Trump's concession on his planned tariff increase, a move that is viewed as averting an increasingly damaging commercial conflict.
Trump had threatened a 10 percent to 25 percent increase in tariffs on $200 billion worth of Chinese exports, The Associated Press reported.
JP Morgan Asset Management market strategist Tai Hui said the move suggested both sides wanted a settlement of the dispute and added that further tariff escalation would have added to concerns about the United States growth outlook.
Mainland China indexes rose, however, after a report in the Hong Kong newspaper South China Morning Post that said a deputy chairman of the Banking Regulatory Commission, Wang Zhaoxing, said risks from soaring debt had been contained. Trump posted in two tweets.
USA equity futures and major stock indexes in Shanghai and Europe jumped on the news early Monday morning.
While the president announced a March 1 deadline for the proposed punitive tariffs would be delayed, he did not indicate if a later deadline would be imposed if the trade talks were to suddenly stall.
For example, in the Paris climate accords, one of the reasons the US withdrew was because it required next to nothing out of China, which emits 9 billion metric tons of carbon dioxide every year and growing, compared with 5 billion by the U.S.
Over the weekend, Chinese trade negotiators echoed Trump's remarks, saying the countries' teams had "achieved substantial progress on specific issues", according to a statement released to Xinhua, China's state news agency. "I think you're better off just going into a document", Trump said on Friday to reporters. But his lead trade negotiator, US Trade Representative Robert Lighthizer, emphasized then that some major hurdles remained. "But they also think that maybe the tariffs have done some good in provoking very serious negotiations between the two sides", Stratford told Reuters earlier. Tariffs and commodities were also on Sunday's agenda, he said.
Reuters reported exclusively on Wednesday that the two sides are starting to sketch out an agreement on structural issues, drafting language for six memorandums of understanding on proposed Chinese reforms.
The official Xinhua news agency used nearly the exact same language, reporting "substantial progress" on those thorny issues in the talks led by Xi's top trade negotiator, Vice Premier Liu He.