U.S. and Chinese officials said on Monday they had reached a framework agreement to place TikTok under U.S.-controlled ownership, with the deal expected to be confirmed during a call on Friday between President Donald Trump and Chinese President Xi Jinping.
The breakthrough, following months of tense negotiations, offers a potential resolution to a dispute that has threatened the popular short-video app’s future in the United States. TikTok counts some 170 million American users.
After talks in Madrid, U.S. Treasury Secretary Scott Bessent said a September 17 deadline for divestiture had spurred Chinese negotiators to move towards a deal. He added the deadline could be extended by 90 days to finalise terms but declined to provide details.
“They’re interested in Chinese characteristics of the app, which they think are soft power. We don’t care about Chinese characteristics. We care about national security,” Bessent told reporters.
Trump, asked whether China would retain a stake, said no decision had been made but suggested Friday’s conversation with Xi would bring confirmation. On Truth Social, he hinted the agreement would “save” a company popular with young Americans, adding: “They will be very happy!”
The deal could still require approval by Congress, which last year passed a law mandating TikTok’s divestiture from Chinese parent company ByteDance over concerns Beijing could access U.S. user data or spread influence through the platform.
Also Read: TikTok Divestment Timeline May Be Extended Again by Trump
It is the second time this year the two governments have said they were close to resolving the issue, after an earlier announcement in March failed to materialise.
China’s top trade negotiator Li Chenggang described the outcome as a “basic framework consensus” and criticised Washington’s broader technology restrictions, calling them “unilateral bullying.”
The Madrid meeting was the fourth round of U.S.-China trade talks in as many months, part of efforts to ease tensions marked by tit-for-tat tariffs and restrictions on advanced technology exports. Officials also touched on wider issues including Russia and semiconductor curbs, though without significant progress.
Bessent said Friday’s Trump–Xi call could also determine whether the two leaders meet later this year, amid speculation of a potential Trump visit to Beijing.
