US President Donald Trump on Monday said an agreement to drastically reduce tit-for-tat tariffs with China for 90 days was a "total reset", and claimed that a call with President Xi Jinping could soon follow.

After the first talks between Washington and Beijing since Trump launched his trade war, the world's two biggest economies agreed in a joint statement to bring their triple-digit tariffs down to two figures and continue negotiations.

The announcement sent financial markets soaring after weeks of turmoil over tariff fears, with major Wall Street indexes surging.

"Yesterday we achieved a total reset with China after productive talks in Geneva," Trump said.

"I'll speak to President Xi, maybe at the end of the week."

Trump's fresh duties on many imports from China came up to 145 percent this year, compared to 10 percent for other countries in a global tariff blitz launched last month.

Beijing hit back with duties of 125 percent on US goods.

The United States agreed to lower its tariffs on Chinese goods to 30 percent while China will reduce its own to 10 percent.

China hailed the "substantial progress" made at the talks, held at the discreet villa residence of Switzerland's ambassador to the United Nations in Geneva.

This move "is in the interest of the two countries and the common interest of the world," the Commerce Ministry said, adding it hoped Washington would keep working with Beijing "to correct the wrong practice of unilateral tariff rises." (AFP)