A report from the Associated Press says China is promising to cut auto import duties and ease foreign ownership limits for the auto industry.

President Xi Jinping has promised the changes amid an escalating tariff spat with Washington. President Donald J. Trump has said the U.S. is negotiating with China over fair trade policies.

From the AP: In a speech Tuesday at a business conference, Xi made no direct mention of the dispute with President Donald Trump but pledged to open China’s markets further and improve conditions for foreign companies.

Xi said Beijing will “significantly lower” tariffs on auto imports this year and ease restrictions on foreign ownership in the auto industry “as soon as possible.”

On Monday, Trump tweeted an explanation of the difference between tariffs paid by the U.S. and China for cars, writing, “When a car is sent to the United States from China, there is a Tariff to be paid of 2 1/2%. When a car is sent to China from the United States, there is a Tariff to be paid of 25%.”

He said the arrangement was not only unfair but “stupid.”

In a previous tweet, Trump vowed that there would be a “great future for both countries” after a deal could be reached regarding trade.