US President Donald Trump's administration is set to restore partial funding to the World Health Organisation, Fox News reported late on Friday, citing a draft letter.
The Trump administration will "agree to pay up to what China pays in assessed contributions" to the WHO, Fox News reported, quoting from the letter.
Mr Trump suspended US contributions to the WHO on April 14, accusing it of promoting China's "disinformation" about the coronavirus outbreak and saying his administration would launch a review of the organisation. WHO officials denied the claims and China has insisted it was transparent and open.
The United States was the WHO's biggest donor. If the US matches China's contribution, as the Fox report adds, its new funding level will be about one tenth of its previous funding amount of about $400 million per year.
As the World Health Organisation prepares to host its main annual meeting next week, fears abound that US-China tension could hamper the strong action needed to address the Covid-19 crisis.
The UN health agency, which for months has been consumed by the towering task of trying to coordinate a global response to the novel coronavirus pandemic, will for the first time invite health ministers and other dignitaries to participate virtually in its annual meet.
The World Health Assembly, which has been trimmed from the usual three weeks to just two days, on Monday and Tuesday, is expected to focus almost solely on Covid-19, which in a matter of months has killed more than 300,000 globally, and infected nearly 4.5 million.
WHO chief Tedros Adhanom Ghebreyesus said on Friday the event would be "one of the most important (WHAs) since we were founded in 1948".
But the chance of reaching agreement on global measures to address the crisis could be threatened by steadily deteriorating relations between the world's two largest economies over the pandemic.
