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President Donald Trump and Chinese President Xi Jinping have agreed to a ceasefire on trade, with Trump agreeing not to raise tariffs further while negotiations continue, the White House said in a statement. China will agree to purchase more U.S. agricultural, energy and other products.

The move means that U.S. tariffs on $200 billion worth of goods will not rise to 25 percent on Jan. 1, from 10 percent currently, as Trump had previously threatened.

The two leaders struck the agreement in Buenos Aires on the sidelines of the annual G-20 leaders summit. It follows months of escalating trade friction as the U.S. complained about Beijing's intellectual property practices.

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