By Emma Farge and John Revill GENEVA (Reuters) -Talks between U.S. and Chinese officials continued into their second day in Geneva on Sunday, as both sides discussed how to de-escalate the trade war that threatens to inflict major damage on the world economy.

China is at the epicentre of U.S. President Donald Trump's global trade war that has roiled financial markets, upended supply chains and fuelled risks of a sharp worldwide economic downturn. Washington wants to reduce its trade deficit with Beijing and convince China to renounce what the U.