The American Petroleum Institute has welcomed progress on U.S.-China trade but encouraged both sides to reach a final deal lifting all tariffs.

The American Petroleum Institute (API) has welcomed progress on U.S.-China trade but encouraged both sides to reach a final deal lifting all tariffs.

“Although we are awaiting further details, we are encouraged by the progress made between the U.S. and China,” Aaron Padilla, API senior advisor for international policy, said in an API statement on Friday.

“The trade war has dragged on for far too long, limiting America’s energy potential and hurting U.S. consumers, farmers and manufacturers,” he added.

“De-escalation is a positive step forward, but we urge both countries to continue working toward a final agreement that completely lifts tariffs on both sides and fully restores U.S. energy export growth opportunities in China, one of our most important global export markets,” Padilla continued.

In a statement posted on its website, the API highlighted that the trade war has impacted the American natural gas and oil industry through U.S. tariffs on imports of industrial components from China, as well as Chinese retaliation on U.S. energy exports.

In June this year, the API signed a letter urging Trump’s administration to get back to the negotiating table with China. In August, the API said the escalating trade dispute hurts American energy leadership.

On Friday, Trump announced that the U.S. had agreed a “very large” phase one deal with China.

“They have agreed to many structural changes and massive purchases of agricultural product, energy, and manufactured goods, plus much more,” Trump stated.

The API describes itself as the only national trade association representing all facets of the U.S. natural gas and oil industry. The organization has more than 600 members, including large integrated companies, as well as exploration and production, refining, marketing, pipeline, marine businesses and service and supply firms.

To contact the author, email andreas.exarheas@rigzone.com