U.S. and Chinese officials announced they have reached a framework agreement to transition the popular short-video app TikTok to U.S.-controlled ownership. The potential deal on the popular social media app, which has 170 million users in the U.S., marks a rare breakthrough in the months-long trade talks between the world’s two largest economies.
U.S. Treasury Secretary Scott Bessent confirmed that the framework was set during trade talks in Madrid. He stated that the threat to shut down the social media site in the U.S. had persuaded Chinese negotiators to drop demands for reduced tariffs. The agreed-upon commercial terms, according to Bessent, would protect U.S. national security interests while keeping the “Chinese characteristics” of TikTok.
The deal is set to be confirmed in a Friday call between U.S. President Donald Trump and Chinese President Xi Jinping. Trump said on Truth Social that the talks had “gone very well,” while China’s top trade negotiator, Li Chenggang, stated that his country would not make a deal at the expense of Chinese companies’ interests.
Sources: BBC News
