US and China 'very close' to phase one trade deal - report

China and the US are "very close" to a key trade deal, according to state-controlled media in Beijing.

Reuters reported that China’s Global Times said the two countries were "very close" to a phase one trade deal, despite previous "negative" media reports. The tabloid newspaper Global Times is controlled by China’s ruling Communist Party.

There have been concerns that the phase one deal - initially expected in November - would not be struck until the new year as both sides struggle to compromise.

Reuters said that Global Times also stated Beijing remained committed to continuing phase two talks. In October, US president Donald Trump said he wanted to move straight onto phase two talks as soon as phase one was agreed.

But the phase two deal is far more ambitious, dealing predominantly with US complaints about the way American intellectual property is handled in China.