The leaders of the world's two largest economies spoke by telephone for the second time since the return to the White House of Trump, who has tried to keep a lid on tensions despite his once virulent criticism of China.

Trump told reporters ahead of the call that he hoped it would finalize a deal to take out of Chinese hands TikTok, the social media platform hugely popular with young Americans that the Republican mogul has turned to himself to garner support.

Neither side reported a final agreement but Trump said the call was "very productive."

"We made progress on many very important issues including Trade, Fentanyl, the need to bring the War between Russia and Ukraine to an end, and the approval of the TikTok Deal," Trump wrote on his Truth Social platform.

He said he would meet Xi on the sidelines of an Asia-Pacific Economic Cooperation forum summit in South Korea starting at the end of next month and that he would travel to China next year.

Trump said Xi would also visit the United States at an unspecified time and that the two leaders would speak again by telephone.

- Chinese warning on 'market rules' -

China offered a sterner take on the talks.

"On the TikTok issue, Xi noted that China's position is clear: the Chinese government respects the will of enterprises and welcomes them to conduct business negotiations based on market rules, to reach solutions that balance interests and comply with Chinese laws and regulations," a statement said.

"China hopes the US side will provide an open, fair, and non-discriminatory business environment for Chinese companies investing in the United States."

It described the call as "frank and in-depth."

The US Congress last year during Joe Biden's presidency passed a law to force TikTok's parent company ByteDance to sell its US operations for national security reasons or face the ban of the app.

US policymakers, including in Trump's first term, have warned that China could use TikTok to mine data from Americans or exert influence on what they see on social media.

But Trump, an avid social media user, on Tuesday once again put off a ban of the app, which he has credited as a factor helping him win the 2024 election.

Trump told reporters on Thursday that under an upcoming deal TikTok's US business would be "owned by all American investors, and very rich people and companies."

The Wall Street Journal raised the possibility of a consortium to control TikTok that would include tech giant Oracle and two California investment funds -- Silver Lake and Andreessen Horowitz.

Oracle owner Larry Ellison, one of the world's richest people, is a supporter of Trump, meaning TikTok would be the latest media or social media app to come under the control or influence of the president.

- China 'hardball' -

Wendy Cutler, a former US trade official who is now senior vice president president of the Asia Society Policy Institute, said that many details remained unclear including who would control the algorithm powering TikTok, and that many other irritants remained.

"Beijing is displaying a willingness to play hardball, and a need to get paid by Washington for any concessions it makes," she said.

Trump while on the campaign trail bashed China relentlessly as an enemy but since returning to office has spoken of his strong relationship with Xi.

Both sides dramatically hiked tariffs against each other during a months-long dispute earlier this year, disrupting global supply chains.

Washington and Beijing reached a deal to reduce levies, which expires in November, with the United States imposing 30 percent duties on imports of Chinese goods and China hitting US products with a 10 percent tariff.

The phone talks come after Trump accused Xi of conspiring against the United States with a major military parade to mark the end of World War II that brought the leaders of Russia and North Korea.

The Chinese statement said Xi voiced appreciation to Trump for the US role in World War II.

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