US and Chinese officials announced that they have reached a framework agreement to shift TikTok’s ownership to US-controlled hands, a move aimed at addressing national security concerns while preserving elements valued by Beijing. The deal, expected to be confirmed during a call between President Donald Trump and Chinese President Xi Jinping on Friday, follows two days of negotiations in Madrid between US Treasury Secretary Scott Bessent and Chinese representatives.
While the commercial terms remain undisclosed, Bessent said the agreement would safeguard cultural aspects of TikTok that China views as soft power, while ensuring US control over national security-sensitive operations. The framework, reached just before a September 17 deadline that could have disrupted TikTok’s US operations, may receive a 90-day extension to finalize details. However, approval by the Republican-controlled Congress will likely be required under the 2024 law mandating ByteDance’s divestiture due to fears of Beijing accessing US user data.
This is the second attempt at a resolution this year, with a March effort collapsing. Chinese officials suggested the deal could include licensing TikTok’s algorithms and intellectual property rather than a full transfer, while US negotiators emphasized securing data from potential misuse. The talks took place amid broader trade tensions, with Washington restricting Chinese access to advanced technologies and Beijing accusing the US of “unilateral bullying.” Despite differences, both sides described the outcome as a “basic framework consensus,” reflecting cautious progress in balancing economic, political, and technological stakes in the future of the popular platform.
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