After the Trump administration signed a memorandum targeting imports from China, concern has been rife about a potential trade war between the world's two largest economies. But China and the US are now in talks to discuss the matter and US Treasury Secretary Steve Mnuchin is reportedly considering a visit to Beijing to further advance the talks. Toby Muse has more.

China and the US are in talks to avoid a possible trade war, with both sides expressing optimism that a deal can be reached. The big three US markets rebounded Monday. The Dow closed nearly 670 points higher. The S&P 500 and NASDAQ closed higher, too. Optimistic messages from both Washington and Beijing apparently eased investor fears.

HUA CHUNYING CHINESE FOREIGN MINISTRY SPOKESPERSON "The United States should understand that in the twenty-first century, international trade needs more rules than power. China has always obeyed the rules of global trade, and we have always advocated equality and mutual benefit, and settle the differences through dialogue. As a matter of fact, China and the United States have been negotiating. China is certain that it can safeguard its own interests."

President Donald Trump plans to slap tariffs on around $50-60 billion worth of Chinese goods. The administration says the plan is to reduce the trade deficit by roughly a third, a decrease of $100 billion this year. At a conference in Beijing Chinese Premier Li Keqiang repeated pledges to ease access for American businesses to Chinese markets, and he said, quote:

"With regard to trade imbalances, China and the United States should adopt a pragmatic and rational attitude, promote balancing through expansion of trade, and stick to negotiations to resolve differences and friction."

Li says China would not force foreign firms to transfer their proprietary technologies and would strengthen intellectual property rights-two issues at the heart of US complaints against China. U.S. officials say they're determined to press China to lower tariffs on cars and open up its financial services sector. That's according to reports in the Wall Street Journal. U.S. Treasury Secretary Steve Mnuchin is reportedly considering a visit to Beijing to advance the talks. Toby Muse, CGTN, Washington.