President Donald Trump's administration is working on a deal with China that may entail lifting a ban on U.S. companies selling hardware and software to telecom giant ZTE, the Wall Street Journal reported late on Monday.

In exchange for Trump removing the ban, ZTE will make major changes in management, board seats and potentially pay fines, according to the Journal. Details of the agreement are still being worked out, it added.

Washington and Beijing are reportedly attempting to settle tensions after the U.S. Commerce Department banned American businesses from selling to Shenzhen-based ZTE for seven years. That penalty was widely expected to bankrupt the telecom heavyweight, which pleaded guilty in March to illegally shipping U.S. goods to Iran and North Korea in violation of American sanctions.

Chinese President Xi Jinping's government has also offered to remove tariffs on U.S. farm products as part of negotiations, the WSJ added.