The US-China trade war has sparked fears of a global recession and hit oil prices
The US government will reportedly give Huawei an extra six months to purchase from US suppliers. AFP / Brendan Smialowski

President Donald Trump said Thursday that an alternative location for his signing of a US-China trade deal with President Xi Jinping will be "announced soon," following cancellation of an APEC summit in Chile.

The partial trade deal, known as phase one, had been due for signing on the sidelines of the regional APEC summit which Chile cancelled on Wednesday due to violent unrest in the capital Santiago.

"China and the USA are working on selecting a new site for signing," Trump tweeted. "The new location will be announced soon. President Xi and President Trump will do signing!"

Beijing also remains positive about the phase one deal, which would signal a big deescalation in the two economic giants' so far 18-month trade war.

"Negotiating teams on the Chinese and US sides have continued to maintain close communication, and negotiations are currently making smooth progress," the Chinese commerce ministry said in a statement Thursday.

"The two sides will continue to push forward negotiations and other work according to the original plan," the ministry said, adding that leaders from both sides will hold another call Friday, a week after senior officials last spoke over the phone.

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