US and Chinese officials said on Monday they have reached a framework agreement to switch short-video app TikTok to US-controlled ownership that will be confirmed in a Friday call between US President Donald Trump and Chinese leader Xi Jinping, reports Reuters. The potential deal on the popular social media app, which counts 170 million US users, was a rare breakthrough in months-long talks between the world’s No. 1 and No. 2 economies that have sought to defuse a wide-ranging trade war that has unnerved global markets.
After a meeting with Chinese negotiators in Madrid, US Treasury Secretary Scott Bessent said a September 17 deadline that could have disrupted the popular social media app in the US encouraged Chinese negotiators to reach a potential deal.
He said that deadline could be extended by 90 days to allow the deal to be finalized, but declined to discuss specifics of the deal. Bessent said when commercial terms of the deal are revealed, it will preserve cultural aspects of TikTok that Chinese negotiators care about.
