China and the United States reached agreements on certain key issues in their economic and trade consultations in Beijing. The agreements were reached after the second day of negotiation and agreed to set up a work mechanism to keep close communication channels in order to resolve trade disputes, Xinhua news agency reported.

Chinese Vice Premier Liu He, also a member of the Political Bureau of the Communist Party of China Central Committee, held candid, efficient and constructive talks with the US delegation led by US president's special envoy and Treasury Secretary Steven Mnuchin, on economic and trade issues of common concern.

The two sides agreed that a sound and stable China-US trade relationship is crucial for both, and they are committed to resolving relevant economic and trade issues through dialogue and consultation.

The two sides had thorough exchange of views on issues including increasing US exports to China, bilateral service trade, two-way investment, protection of intellectual property rights, as well as resolving tariff and non-tariff issues, reaching consensus in some areas.They also agreed to stay in close communication on relevant issues and establish a corresponding work mechanism.