US President Donald Trump said on Thursday that he has held a phone call with Chinese President Xi Jinping. He described relations as being back on track and said negotiations for a trade deal are in "good shape."

Trump told reporters at the White House that he and Xi had a "very good talk." He said, "We've straightened out any complexity. It's very complex stuff and we straightened it out."

He added that they agreed to have their negotiating teams hold further discussions. He also said they accepted each other's invitations to meet in-person.

Trump wrote on social media on Thursday that the call, which lasted around an hour and a half, "resulted in a very positive conclusion." He added that they resolved the "complexity" surrounding the issue of rare-earth products.

Chinese state-run media said the call happened at Trump's request. It added that Xi told him to back down from trade measures that have shaken the economy. The two sides had been raising tariffs on each other before agreeing in May to a 90-day pause.

Xi also reportedly warned Trump to handle the Taiwan issue with caution.

This is the first time during Trump's second term that he and Xi are known to have spoken directly.