The US has agreed to suspend its next tariff hike on Chinese imports after two days of trade talks in Washington.US President Donald Trump said negotiators had reached a "phase one deal" that would include increased agricultural purchases and address financial services and technology theft, reports BBC.
China's top negotiator Liu He also said he was "happy" with progress.
The US was due to raise tariffs on some Chinese goods to 30% next week.
Mr Trump said he might sign the deal alongside Chinese President Xi Jinping at a United Nations summit in Chile in December.
Another planned tariff hike, in December, remains on the table, said Robert Lighthizer, America's top trade negotiator.
The US and China have imposed tariffs on billions of dollars worth of each other's goods over the past 15 months, casting a pall over the global economy.The US wants better protection for US intellectual property, and an end to both cyber theft and the forced transfer of technology to Chinese firms.