Additionally, Trump said his administration will not label China as a currency manipulator - a stark reversal from comments he made during his presidential campaign.
The Trump administration didn't label any country, including China, a currency manipulator in its Friday report on exchange rates sent to Congress.
The Treasury also warned that it will scrutinize China's trade and currency practices very closely and called for faster opening of China's economy to U.S. goods and services and a shift away from exports to more domestic consumption. Keeping the renminbi low gave its exporters a competitive edge by making Chinese goods more affordable overseas and other nations' products costlier for Chinese buyers.
Since the central bank was reluctant to intervene in recent sessions, the Taiwan dollar appreciated more than 6 percent against the greenback in the first quarter of this year, which sparked an outcry from exports-oriented firms, particularly those in the high-tech sector which had incurred large foreign exchange losses in the three-month period.
The enhanced communication between China and the United States is conducive to the healthy development of bilateral trade and investment, he said.
A US Treasury spokesman confirmed that the Treasury Department's semi-annual report on currency practices of major trading partners, due out later this week, will not name China a currency manipulator.
"Expanding trade in a way that is freer and fairer for all Americans requires that other economies avoid unfair currency practices, and we will continue to monitor this carefully", he said in statement. Washington has not branded any country a currency manipulator since 1994.
Bayern Drop Points At Home To Mainz
Normal service was resumed when Arjen Robben sprinted onto Franck Ribery's superb pass and rifled Bayern back level on 16 minutes. Bayern's problems were compounded when his replacement Joshua Kimmich fouled Mainz's Japan striker Yoshinori Muto in the area.
Trump's threats to challenge China on trade, North Korea and Taiwan risked upending the sensitive diplomatic balance between the world's two largest economies.
"China now has an extremely large and persistent bilateral trade surplus with the United States, which underscores the need for further opening of the Chinese economy to American goods and services", as well as quicker reforms to boost household consumption, according to the Treasury report.
He said progress on trade was needed to narrow the deficit between the two countries but that should be achieved through increasing USA exports to China, not cutting USA imports of Chinese goods. Its surplus with the United States totaled $65 billion a year ago.
Trump told reporters he's pushing Xi to pressure North Korea to abandon development of nuclear weapons and missiles capable of striking the USA, a program that has also alarmed American allies in Japan and South Korea.
The report did call out China's past efforts to hold down the yuan's value, saying this created a long-term "distortion" in the global trading system that "imposed significant and long-lasting hardship on American workers and companies". He has retreated from that position after meeting with Chinese President Xi Jinping in Florida last weekend.
US 100 dollar banknotes and Chinese 100 yuan banknotes are seen in this picture illustration in Beijing, China, January 21, 2016.