As the diplomatic relations of United States and China continue to go through a rough patch due to the coronavirus pandemic, both agreed to “create favourable conditions” for the phase one of the trade deal signed in January, Beijing officials said on Friday.

Vice Premier Liu He, who had led Beijing’s negotiations, held a call in the morning with US Trade Representative Robert Lighthizer and Treasury Secretary Steven Mnuchin, according to a notice from the Ministry of Commerce, reported news agency AFP.

“Both sides said they should strengthen macroeconomic and public health cooperation, strive to create a favourable atmosphere and conditions for the implementation of the phase one US-China economic and trade agreement, promoting positive results,” the notice said.

The countries have also agreed to maintain communication and coordination.

Last week, US President Donald Trump threatened new tariffs against China after claiming there was evidence linking COVID-19 to a top-security lab in the central Chinese city of Wuhan, where the virus first emerged last year.

In January, Beijing agreed to import an additional $200 billion in US products over two years, above the levels purchased in 2017, marking a truce in a bruising trade war that had hammered the global economy for almost two years.

However, the pandemic has affected the world trade and the US-China trade deal remains doubtful under such circumstances.  Recovery has been slow since, and consumption has yet to bounce back to pre-virus levels.

China’s imports plunged 14.2 percent in on-year in April, after a 0.9 percent dip the month before, even though the country has largely brought the coronavirus under control locally.

Nick Marro of The Economist Intelligence Unit said that “shipments from the US remain well below the levels needed to achieve the purchase pledges under the trade accord”. He added that the pandemic has disrupted supply and demand on both sides of the Pacific, highlighting risks around the survival of the deal.

Although China’s exports defied expectations to rise 3.5 percent in April, economists believe this is unlikely to last as figures were boosted by shipments of medical supplies against the global pandemic, as well as fulfilments of a backlog built up from a slow business resumption in the first quarter.

Mnuchin said this week, however, that he expects China to uphold the deal signed this year, warning of “very significant consequences” if that did not happen. The US runs a trade deficit with China, and the objective has been to realign the trade balance between both countries.

(With inputs from AFP)