China says 'big differences' with US remain after talks

China's state media says talks in Beijing with US officials ended with an agreement to set up a mechanism to work through an escalating dispute over trade. But it said "big differences" remain on some matters.

Citing the Commerce Ministry, the official Xinhua News Agency said Friday that the two sides discussed expanding U.S. exports to China, trade in services, the protection of intellectual property rights and how to resolve the use of tariffs and non-tariff measures.

The report says the two sides "reached consensus in some areas," but did not provide specifics.

Earlier Friday, US Treasury Secretary Steven Mnuchin sounded a positive note about talks aimed at easing tensions that have taken the countries close to a trade war.