CaliToday (15/9/2025): The United States on Monday announced a "framework" agreement with China to resolve the long-standing dispute over TikTok, as a critical deadline approaches this week for the popular Chinese-owned app to be sold or face a ban in the US.
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| US Treasury Secretary Scott Bessent said US President Donald Trump would 'complete' the TikTok deal with Chinese leader Xi Jinping (Thomas COEX) |
In a social media post, US President Donald Trump announced without directly naming the social media giant that a deal had been reached with "a certain company that the young people in our country are desperate to save. They will be thrilled!"
Trump added on his Truth Social network that he is scheduled to speak with Chinese President Xi Jinping on Friday to finalize the details.
The announcement was made by US Treasury Secretary Scott Bessent following a second day of talks in Madrid with Chinese Vice Premier He Lifeng. The meetings also encompassed broader discussions on the ongoing US-China trade disputes.
"We have the framework for a TikTok agreement," Bessent told reporters, adding that Trump and Xi would speak on Friday to "put the finishing touches" on the deal.
TikTok is owned by the China-based internet company ByteDance.
A federal law, passed on national security grounds, was set to force a sale or ban of TikTok a day before President Trump's inauguration on January 20. However, the Republican candidate, whose 2024 campaign has heavily relied on social media and who once declared a great affection for TikTok, put a pause on the ban.
In mid-June, Trump granted the popular video-sharing app a 90-day extension to find a non-Chinese buyer or be outlawed in the United States. That extension is set to expire on Wednesday.
Although Trump has long advocated for a ban or divestment, he reversed his position after becoming convinced that the platform—which has nearly two billion global users—helped him win support from younger voters in the November election.
A Fragile Truce
Beijing's Commerce Ministry on Friday had called on Washington to "work with China on the basis of mutual respect and equal consultation, to address each other's concerns through dialogue and find a solution to the issue."
The talks in Madrid also addressed Trump's standing threat to impose high tariffs on Chinese imports.
In his Truth Social post on Monday, Trump said the meeting in Europe "went VERY WELL!" adding: "The relationship remains very strong!!!"
Trade tensions between the two economic superpowers escalated sharply earlier this year, with retaliatory tariffs reaching triple digits and disrupting global supply chains. Both governments later agreed to de-escalate, with the US imposing a 30% tariff on Chinese imports and China a 10% tariff on US goods, but that temporary truce is set to expire in November.
The US-China trade ceasefire has been uneasy, with Washington accusing Beijing of violating the agreement and delaying the approval of export licenses for rare earth minerals. China is the world's leading producer of rare earths, which are essential for manufacturing magnets used in the automotive, electronics, and defense industries.
Tensions in the Chip Sector
Separately, China launched two investigations into the US semiconductor industry on Saturday. Beijing opened an anti-dumping probe into certain integrated circuit chips originating from the United States, its Commerce Ministry said. The ministry also announced a separate investigation into whether the US is discriminating against China's chip industry.
On Monday, China followed up by stating that an investigation found US chipmaking giant Nvidia had violated the country's anti-monopoly regulations, announcing it would open an additional inquiry. The statement did not provide further details on the alleged violations or the subsequent investigation.
Beijing, which initially announced the probe in December, is currently locked in a fierce rivalry with the United States for dominance in the critical semiconductor sector.
Top diplomats and defense ministers from both nations held consecutive phone calls last week, which analysts suggest could mark a step toward a potential meeting between Trump and Xi. In August, Trump stated he expected to visit China this year or shortly after, noting that economic relations between the two countries had improved.
