Donald Trump has indicated that a deal has been done that will allow TikTok to continue operating in the US, while complying with the law passed by Congress last year that said the social media platform’s US operations cannot be owned by China-based ByteDance.
US Treasury Secretary Scott Bessent has also confirmed that the framework for a deal has been agreed, adding that further details about said deal would be determined in a call between Trump and Chinese President Xi Jinping on Friday.
Of course, with Trump, nothing is ever entirely certain - in recent weeks he has put out conflicting statements about TikTok and any ByteDance deal - but it does seem like we’re closer than ever to getting some clarity on the app’s future in the US.
Any deal to sell TikTok US to American investors requires the consent of the Chinese government, which means TikTok’s future in the US market got caught up in the big trade war between the US and China. With the latest deadline for ByteDance to agree a sale coming up this week, all eyes were on trade talks between US and Chinese officials currently taking place in Spain.
Earlier today Trump wrote on Truth Social, “the big trade meeting in Europe between the United States Of America and China has gone VERY WELL” and “it will be concluding shortly”. He then added, “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!”
The future of TikTok in the US has been hanging in the balance ever since Congress passed its sell-or-be-banned law last year over concerns that the Chinese government has access to TikTok user data via ByteDance. That uncertainty has been concerning for artists, creators and record labels that rely on TikTok as a vital marketing and fan engagement platform.
Trump has repeatedly postponed the deadline for ByteDance to agree a deal to sell TikTok US, insisting he was the man to facilitate a deal between the Chinese tech company and a group of American billionaires, that would allay the concerns of Congress while allowing younger Trump fans to continue using the short form video app.
However, as Trump also ramped up the trade war with China, it was never certain Beijing would approve any deal. But, it seems, a framework is now in place to allow the sale of TikTok US to go ahead.