The Global Times, China’s hawkish tabloid run by the ruling Communist Party’s official People’s Daily, said in a tweet that US and China are “very close” to the phase one trade deal. China “remains committed to continuing talks for a phase two or even a phase three deal”with US “on equal footing”.

Foreign ministry spokesman Geng Shuang also reiterated that China hopes to work with US on a basis of equality and mutual respect on the ongoing bilateral trade negotiations.

The comments came after Reuters reported that some Chinese and US officials believed the ambitious “phase two” trade deal is looking less likely as the two countries struggle to strike a preliminary agreement.

There are increasing speculations that the completion of the phase one US-China trade deal would slide into next year. China is said to be refraining concrete commitment on farm purchases, while pushing for more extensive tariffs rollbacks. At the same time, tensions between the two countries increased due to unrest in Hong Kong.

US national security adviser Robert O’Brien said over the weekend “We were hoping to have [a phase one] deal done by the end of the year. I still think that’s possible”. Though, he also emphasized, “at the same time, we’re not going to turn a blind eye to what’s happening in Hong Kong or what’s happening in the South China Sea, or other areas of the world where we’re concerned about China’s activity.”

Meanwhile, Reuters reported that the “ambitious” phase two deal looks increasing less likely for now. An unnamed Chinese office was quoted saying that “It’s Trump who wants to sign these deals, not us. We can wait.” China might want to drag on with phase two negotiations to see if Trump could win a second term in next year’s election.

Chinese Ministry of Commerce spokesman Gao Feng reiterated at that China is willing to work with US to address each other’s core concerns to reach the phase one trade deal. And, “this is in line with the interests of both China and the United States, and of the world”. Gao also dismissed “outside rumors” regarding farm purchases and tariff rollbacks a sticking points as “not accurate”.

WSJ reported that China has invited top US trade negotiators for another round of face-to-face meeting in Beijing, preferably before next Thursday’s Thanksgiving holiday. But US have indicated that they’re only willing to travel if China would make clear its commitments on intellectual property protection, forced technology transfers and agricultural purchases.

Separately, on the issue of Hong Kong, China continued to express strong objections to the passage of the Hong Kong Human Rights and Democracy Act. Geng Shuang, spokesman at Foreign Ministry, said “we urge the U.S. side to cease this activity, stop before it’s too late and take measures to prevent these measures from becoming law, stop meddling in Hong Kong’s affairs and China’s affairs”. He added, “If they must insist on going down this wrong path China will take strong counter-measures.”

The status of US-China trade agreement phase-one is back into question with recent comments. It’s even unsure if the negotiations could be completed within this year. December 15 is the next key date, when tariffs on around USD 156B of Chinese goods are scheduled to take effect.

According to a Bloomberg report, Chinese Vice Premier Liu He said at a dinner Wednesday night that he was “cautiously optimistic”. Zhang Yansheng, the principal researcher of China Center for International Economic Exchanges said today that the phase-one could be reached this year is there is “no disturbance”. he added, “The optimistic view is that the phase-one deal can be reached within this year, and a more pessimistic one is that the first phase will be dragged to some point next year.” But Hu Xijin, the editor of the state-backed Chinese tabloid Global Times, warned “few Chinese believe that China and the US can reach a deal soon.” He added, “China wants a deal but is prepared for the worst-case scenario, a prolonged trade war.”

On the US side, President Donald Trump complained to reporters in Texas that “I don’t think they’re stepping up to the level that I want.” White House spokesman Judd Deere said “negotiations are continuing and progress is being made on the text of the phase-one agreement”, without further elaboration.