President Xi Jinping said on Friday China welcomes negotiations over TikTok in a phone conversation with his US counterpart Donald Trump.

According to Xinhua News Agency, Xi said China's position on the popular social media app in clear.

He said the Chinese government respects the will of firms, and welcomes companies conducting negotiations in line with market rules and reach solutions conforming to Chinese laws and regulations and balancing different interests, Xinhua reported.

Xi also said the US "should avoid taking unilateral trade-restrictive measures that could undermine the outcomes achieved through multiple rounds of consultations," Xinhua said.

The president called on Washington to create an open, fair and non-discriminatory business environment for Chinese companies operating in the US.

Xi described the phone conversation with Trump as "pragmatic, positive and constructive", according to Xinhua.

Writing on the Truth Social platform, Trump said he and Xi made progress on a TikTok deal and described their call as "productive".

Trump said the US supports negotiations to resolve the TikTok issue and hopes to further promote bilateral economic and trade ties, Xinhua reported.

He said Sino-US ties are the most important bilateral relations in the world, and Washington wants to maintain positive, long-term ties with Beijing, Xinhua added.

Trump also said the two leaders will meet at the Apec summit in South Korea next month.

He added in the Truth Social post that he will travel to China early next year and that Xi would come to the US "at an appropriate time".

"The call was a very good one, we will be speaking again by phone, appreciate the TikTok approval, and both look forward to meeting at APEC!," Trump wrote.

This was the second phone call between the two leaders since Trump returned to the White House this year, and the first since June.

Trump has extended a deadline several times for TikTok to be spun off from its Chinese parent company, ByteDance, and the two countries have held several rounds of talks in recent months over US tariffs and other trade issues. (Agencies)