U.S., China Reach Framework Deal to Shift TikTok to U.S. Ownership

MADRID — The Trump administration announced Monday that the United States and China have reached a preliminary framework agreement to transfer ownership of the social media platform TikTok from its Chinese parent company, ByteDance, to U.S.-controlled ownership, addressing national security concerns over potential Chinese government access to user data.

U.S. Treasury Secretary Scott Bessent confirmed the development after trade talks in Madrid, ahead of a Sept. 17, 2025, deadline that would have required ByteDance to divest TikTok’s U.S. operations or face a potential ban. Bessent described the agreement as “between two private parties” with “commercial terms agreed upon,” though specific details were not disclosed.

President Donald Trump hinted at the deal in a Truth Social post Monday, writing, “The big Trade Meeting in Europe between The United States of America, and China, has gone VERY WELL! A deal was also reached on a ‘certain’ company that young people in our Country very much wanted to save. They will be very happy! I will be speaking to President Xi on Friday. The relationship remains a very strong one!!!” Trump is set to speak with Chinese President Xi Jinping on Friday to finalize the agreement.

The deal follows a 2024 law, signed by then-President Joe Biden, banning major app store operators like Apple and Google from offering TikTok in the U.S. due to its “foreign adversary-controlled” status under ByteDance’s Chinese ownership. U.S. officials have long expressed concerns that Beijing could access American users’ data or use the platform to push Chinese Communist Party propaganda. TikTok, with 170 million U.S. users, faced a brief shutdown in January 2025 before Trump issued multiple executive orders extending the divestiture deadline.

China’s top trade negotiator, Li Chenggang, confirmed a “basic framework consensus” on the deal, emphasizing that China would not compromise its “principled stance, corporate interests, and international fairness and justice.” Wang Jingtao, an official at China’s Central Cyberspace Affairs Commission, noted the agreement may include licensing intellectual property rights, such as TikTok’s algorithm, a key sticking point in negotiations.

Trump previously suggested Tesla CEO Elon Musk or Oracle Chairman Larry Ellison as potential buyers, though the parties involved in the current framework remain undisclosed.