U.S. And China Strike Framework Deal Over TikTok Ownership
The United States and China announced a framework agreement on Monday to resolve longstanding tensions over the ownership of TikTok, the hugely popular short-video app owned by China’s ByteDance. The deal, unveiled after trade negotiations in Madrid, aims to shift control of TikTok’s U.S. operations to American hands while addressing national security concerns that have fueled years of political conflict.
Treasury Secretary Scott Bessent confirmed that “commercial terms have been agreed upon” between private parties — though he declined to share the details. The talks were carried out in Madrid during high-level discussions led on the U.S. side by Bessent and U.S. Trade Representative Jamieson Greer. On the Chinese side, Vice Premier He Lifeng and trade negotiator Li Chenggang took part. The forthcoming step is a meeting between President Donald Trump and President Xi Jinping, expected later this week, to finalize the deal.
Under U.S. law passed in 2024 — specifically the Protecting Americans from Foreign Adversary Controlled Applications Act — ByteDance had faced a deadline to either divest TikTok’s U.S. operations or have the app banned in the United States. That deadline, previously set for mid-September, had been extended several times as negotiations continued.
While both sides expressed optimism, officials noted some unresolved trade issues remain outside the TikTok issue. China’s delegation made what U.S. negotiators described as “very aggressive asks,” especially relating to tariffs and market access. Still, the TikTok agreement is considered a breakthrough: it may allow the app to continue operating in the U.S. under a structure that meets American demands for data security and algorithmic control.
