The U.S. and China have reached a “framework” agreement on the future of TikTok’s American operations, according to U.S. Treasury Secretary Scott Bessent. The deal, announced during trade talks in Madrid, sets the stage for U.S. ownership of TikTok’s U.S. arm and is expected to be finalized by Presidents Trump and Xi Jinping on Friday.
The agreement comes ahead of a looming deadline for TikTok’s Chinese parent company to sell its U.S. operations or face a ban. Bessent said the shutdown threat pushed China to ease tariff demands, with the deal designed to safeguard U.S. national security.
Both sides confirmed the framework, but China emphasized it would not accept terms that compromise the interests of its companies. U.S. officials said no further deadline extensions are planned, and final approval will rest with national leaders.
