The United States and China have reached a tentative framework agreement that would allow TikTok to continue operating domestically, preventing the app from being shut down as early as Wednesday. The arrangement comes in the midst of ongoing trade talks between Washington and Beijing.
“The framework for a switch to a U.S.-controlled ownership,” Bessent told reporters in Madrid following two days of negotiations with the Chinese delegation, reports Fox Business.
President Donald Trump is expected to speak with Chinese President Xi Jinping on Friday to finalize the terms of the agreement.
According to U.S. Trade Representative Jamieson Greer, the government may issue a brief extension of the September 17 deadline. Bessent emphasized, however, that “It would not have been extended without a framework.”
Bessent has previously explained that Beijing was seeking policy concessions from Washington in the areas of trade and technology in return for moving forward with divesting from TikTok. “Our Chinese counterparts have come with a very aggressive ask,” he said. The treasury secretary added, “We are not willing to sacrifice national security for a social media app.”
On Truth Social, Trump declared, “The big Trade Meeting in Europe between The United States of America and China, has gone VERY WELL! It will be concluding shortly.” He continued, “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!!!”
Fox Business explains how TikTok’s fate has been closely tied to legislation passed last year under then-President Joe Biden, which prohibited apps owned by foreign adversaries. That law, upheld by the Supreme Court, took effect on January 19, 2025, though it allowed for a 90-day grace period.
National security concerns over ByteDance’s ties to the Chinese government were central to the law, as officials warned the app could be exploited for data collection and foreign influence campaigns.
After taking office, Trump delayed enforcement of the measure several times. He first issued a 75-day pause, then granted another 75-day extension in April when a dispute over tariffs blocked progress on TikTok’s divestment. A subsequent 90-day reprieve in June is now set to expire this week.
