TikTok Deal: Trump and Xi to Finalize Agreement Thursday - Treasury Secretary

TikTok Deal Nears Completion Between U.S. and China

According to Treasury Secretary Scott Bessent, the United States and China are prepared to proceed with a TikTok agreement.

Previously, Bessent indicated last month that a “framework” for a deal had been established during talks held in Madrid.

Agreement Details and Timeline

On a Sunday broadcast of CBS’ Face the Nation, Bessent announced that a “final deal on TikTok” had been achieved between the U.S. and China.

He stated, “We reached one in Madrid, and I believe that as of today, all the details are ironed out.” The finalization of this transaction is anticipated to occur on Thursday in Korea, involving both leaders.

Bessent refrained from disclosing the specifics of the agreement, but confirmed his objective was met. He explained, “My remit was to get the Chinese to agree to approve the transaction, and I believe we successfully accomplished that over the past two days.”

Executive Order and Operational Changes

President Donald Trump has repeatedly extended the deadline for a law requiring ByteDance, TikTok’s parent company, to divest the app or face a ban within the United States.

The President’s executive order stipulates that TikTok’s U.S. operations – encompassing the recommendation algorithm, source code, and content moderation processes – will be overseen by a newly formed board of directors.

Oracle will assume responsibility for security operations under this new structure.

Potential Investors in the Joint Venture

Reports indicate that several companies are considering investment in the new joint venture.

• Oracle (led by Trump ally Larry Ellison)
• Fox Corp. (owner of Fox News)
• Andreessen Horowitz
• Silver Lake Management

Trump has seemingly confirmed Fox’s involvement in the venture.

Broader Trade Discussions

Bessent shared these updates from Kuala Lumpur, Malaysia, where trade negotiators from both China and the U.S. also announced a framework agreement regarding tariffs and other trade concerns.

U.S. trade negotiator Jamieson Greer informed reporters that discussions included rare-earth minerals, though specific details were not provided.

China has previously signaled its intention to impose stricter export controls on these minerals, which are essential for the production of semiconductors and other technological products.

“We talked about extending the truce, we talked about rare earths, of course, we talked about all kinds of topics,” Greer added.