Steven Mnuchin noted that China had moved away from language in the agreement, that would have changed it substantially.
He also reportedly argued that the entire economic team was unified in recommending to US President Trump, that he proceed with tariffs if no agreement is made with China by Friday.
US Treasury Secretary noted that the US was not going to negotiate "to go backwards", adding that if the Chinese changed their position the US would be willing to keep talking, Reuters reports.
He also said that the US was in the process of planning a Summit with Donald Trump and Xi Jinping.
Meanwhile, US Trade Representative Robert Lighthizer claimed that the US has observed an "erosion in commitments" from China over the course of last week, adding that Beijing was "reneging on commitments."
Lighthizer confirmed that the US would host the delegation from China on Thursday and Friday, and voiced his expectations that the Chinese Vice Premier would attend the talks.
Earlier in the day the US president stated that he would increase tariffs on Chinese goods from 10 percent to 25 percent starting on Friday.
Trump's statement came after Washington promised to increase tariffs on Chinese goods stressing it will also soon impose 25 percent tariffs on other Chinese goods worth $325 billion.
The latest round of trade negotiations between the two countries was held in Beijing on 30 April, and the next round was scheduled for 8 May. During these bilateral negotiations, China and the United States are trying to work out a mutually acceptable trade agreement that would put an end to an almost year-long tariff war between the world's largest economies.