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"From an economic perspective, a trade war would be a 'lose-lose scenario' and negotiation is the preferred approach to reach a 'win-win' outcome", said Zhu Haibin, chief China economist and head of China equity strategy at JPMorgan. "Investors believe there is still room for negotiation between the two sides."

"Had it not made and largely abided by the commitments it gave to the WTO in 2001, it could never have become the dynamic, globally interconnected economy it is today," Armstrong added.

"Good credit helps me make a good fortune," said Fang Hengtian, another villager in the county, who earned 70,000 yuan in 2019 by planting traditional Chinese medicinal herbs such as gastrodia elata thanks to the loans granted through the credit rating system.

"For the common parts, we must continue to expand and make them a solid bond that connects the two sides. Regarding the differences and sensitive issues, we should put them in an appropriate position with constructive management and control," he said.

"For the first time in months, the United States and China are moving in the right direction on tariffs and we congratulate negotiators from both sides," David French, the federation's senior vice president for government relations, said in a statement.