Robert Zoellick has resigned his position as the US Deputy Secretary of State to join Goldman Sachs. The move cements the Wall Street bank's ties with Washington after Hank Paulson, its former chief executive, was recently appointed as Treasury Secretary.

Mr Zoellick, a Harvard-trained lawyer and a former trade spokesman for the US, is understood to have met with a number of Wall Street firms after being overlooked for the Treasury role by President Bush.

He was a senior international adviser to Goldman Sachs, one of America's most powerful and profitable companies, in the 1990s.

His return to Goldman comes after the bank has been linked to a string of aborted bids for British companies including ITV, the broadcaster and BAA, the airports operator. The firm is currently battling to buy Associated British Ports.

"I have accomplished what I set out to do and it is time for me to step down," Mr Zoellick said today at a news conference with Condoleezza Rice, Secretary of State, by his side.

Ms Rice said: "It is not without considerable sadness that I announce that Bob Zoellick will be leaving the department in coming weeks."

There was no indication of who will succeed Mr Zoellick. He is widely considered as the architect of America's policy on China, a role where he led talks aimed at making China "a responsible stakeholder" in world affairs.

"I was pleased, in particular, to assist in reframing the US approach toward China, because that relationship will be vital for America and the world," Mr Zoellick said in his June 15 resignation letter to the President.

Ms Rice added that Mr Zoellick had been willing to "get up his courage and roll up his sleeves and even occasionally hug a panda."

Mr Zoellick was also involved in America's efforts to bring an end to the genocide in Sudan’s western Darfur region, which he has visited several times.

As the US trade representative, he took part in negotiations which was China enter the World Trade Organisation and helped launch the ongoing Doha round of trade talks.

A spokesman for Goldman Sachs confirmed Mr Zoellick would be joining the firm, but he declined to provide further details.

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