Trump Govt Confirms Final Deal With China on TikTok
A deal has been reached between the Trump administration and China to keep TikTok operational in the U.S., concluding a lengthy effort since President Trump’s first term. Treasury Secretary Scott Bessent announced a framework agreement, with Trump scheduled to speak with Chinese leader Xi Jinping on Friday to finalize
A deal has been reached between the Trump administration and China to keep TikTok operational in the U.S., concluding a lengthy effort since President Trump’s first term. Treasury Secretary Scott Bessent announced a framework agreement, with Trump scheduled to speak with Chinese leader Xi Jinping on Friday to finalize the deal. This conversation precedes a potential Trump-Xi meeting, both sides having sought it for months.
Bessent credited Trump's leadership for the deal, noting that the president’s guidance and leverage were crucial. The U.S. did not disclose the buyer, but Oracle's Larry Ellison, who recently became the world’s richest person, is widely expected to lead. Trump had previously expressed support for Ellison acquiring the U.S. assets of TikTok’s parent company, ByteDance.
Meanwhile, U.S. and Chinese diplomats met in Spain to discuss trade and other issues, including TikTok. U.S. Trade Representative Jamieson Greer emphasized that the deal aims to respect U.S. security concerns and ensure a fair environment for Chinese investments in the U.S.
Chinese officials, including Vice Minister Li Chenggang and Wang Jingtao of China’s Cyberspace Administration, indicated that the agreement involves cooperation on TikTok, data management, and licensing of algorithms and intellectual property. China maintains that its principles and interests are protected.
TikTok and ByteDance did not respond to inquiries comments. Trump had continuously delayed a deadline to force ByteDance to sell its U.S. operations, citing national security fears. A bipartisan U.S. law since Biden's administration has aimed to ban TikTok unless these assets are divested, but enforcement has been delayed multiple times.
TikTok's popularity in the U.S. is significant, especially among young users, who tend to lean toward Republican candidates. Although Trump had previously considered banning TikTok, his stance shifted after viewing the app as a factor in his 2024 election victory.
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Several investors, including Frank McCourt and Kevin O’Leary, showed interest in acquiring TikTok, but industry analysts believe Ellison is a more likely buyer due to his existing ties and potential to obtain TikTok’s algorithm. Without a deal, a Trump-Xi meeting may not be feasible, although the agreement could pave the way for discussions during Trump’s upcoming Asia visit.
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