TikTok won't be banned in the US after all
What's the story
The United States and China have reached a framework deal concerning the popular short-video app, TikTok. The agreement was part of wider discussions on tariffs and economic policy that ended in Madrid today, US Treasury Secretary Scott Bessent said. The deal would allow TikTok to continue its operations in the US, where it has been threatened with a shutdown unless it transitions to US ownership by September 17.
Agreement specifics
Deadline for TikTok deal could be extended
Bessent said, "The framework is for a switch to a US-controlled ownership," but he didn't go into detail. He also hinted that the September 17 deadline for TikTok to finalize this deal could be extended slightly. This extension, according to US Trade Representative Jamieson Greer, wouldn't have been possible without the framework in place.
Ongoing negotiations
More talks expected to address trade, economic policy issues
Bessent also hinted at more talks in the coming days to address trade and economic policy issues. The two sides have talked about working together on money laundering and combating the illegal fentanyl trade. This comes after earlier threats from the US to ban TikTok unless China dropped its demands for tariff reductions and tech restrictions as part of a divestiture deal.
Presidential assurance
Deal expected to be formally announced on Friday
US President Donald Trump had previously committed to saving TikTok from a ban. The deal is expected to be formally announced on Friday after Trump's call with Chinese President Xi Jinping.