Mr. Trump said they made progress on technology transfers and will deal with it partially in phase one.
"We have an agreement on intellectual property", the United States president said, claiming another obstacle to an overall deal had been overcome.
Treasury Secretary Steven Mnuchin at the meeting said there was "almost a complete agreement" on the issues of currencies and opening of Chinese financial services markets to US firms.
Trump said on Friday the terms will be written up over the course of three to five weeks.
The president said that China had agreed to $40 billion to $50 billion in agricultural purchases, as well as an agreement on intellectual property and financial services. The Trump administration had planned next week to raise tariffs on $250 billion in Chinese goods, with another round planned to take effect on December 15 on $160 billion in imports.
Critics say the move will go only part way toward resolving a crisis of the president's own making, and that the trade war will continue to slow the global economy.
The agreement came after Chinese officials shifted their position on the trade talks over the past month, moving from an insistence on a complete removal of USA tariffs to a willingness to accept a partial deal that would leave many of those tariffs in place.
Currency and foreign exchange were other big issues over which the two countries had reached an agreement, he said.
Media reports this week have drawn the contours of a partial deal that, while not addressing Trump's core grievances about China's trade practices, would offer something for both sides. "We urge trade negotiators on both sides to keep working to a full agreement that rolls back all recent tariffs so everyone sees lower costs and shoe companies can unleash innovation and create new jobs".
Bloomberg reported that the U.S.is considering a limited agreement that would involve a previously-agreed currency pact.
But while Trump took a victory lap for what he called it a "substantial phase one deal", it will take weeks to finalize and the final details are not clear, nor will it roll back tariffs already in place on hundreds of billions of dollars in two-way trade. "At the end of the day, if the two sides were not interested in having some progress, they wouldn't even be meeting today".
J.P. Morgan analysts said they are expecting a no-deal status quo while "market investors also have high hopes for a mini-deal".
Discussions from the opening day of round 13 of negotiations are reported to have revolved around additional United States agricultural purchases by China, an understanding on currency issues, intellectual property and market access.
"We've been in similar situations before, with some kind of trade agreement seemingly at hand, but then the talks collapse", said Geraghty. The Chinese regime, in response, exempted US pork and soybeans from additional tariffs, and has recently made big purchases of USA soybeans.
Thorny issues appear to remain, including China's tendency to subsidize core industries and force US companies to transfer technology to Chinese partners.
"It's not much and it doesn't get us very far in the big issues, so whether it will lead to anything important is still very unclear", said Barry Naughton, an expert on China's economy at the University of California, San Diego. In May U.S. officials accused China of walking away from a sweeping agreement that was almost finished over a refusal to make changes to Chinese laws that would have ensured its enforceability.