Following a recent call between U.S. President Donald Trump and Chinese President Xi Jinping regarding the future of TikTok’s American operations, both sides expressed agreement on reaching a deal, though the precise details remain uncertain.
After the conversation, Trump posted on his Truth Social platform that progress had been made toward an agreement concerning TikTok’s U.S. business, publicly thanked Xi for his cooperation, and even declared that the arrangement had been “approved.” However, Reuters, citing Chinese state media, reported that Xi adopted a more cautious tone, stating that China “respects the will of the relevant enterprises” and hopes any outcome will comply with legal standards and serve the interests of both nations.
TikTok’s parent company, ByteDance, subsequently issued a statement thanking both governments for their efforts to safeguard TikTok’s U.S. presence. The company also pledged to continue operating in accordance with Chinese law, signaling to the public that its American operations remain stable.
Multiple reports suggest that the two sides are now in the final stages of negotiation. Proposals under discussion include launching a new version of the TikTok app tailored for the U.S. market, while continuing to rely on ByteDance’s core algorithmic technology. Under this framework, American investors would assume primary operational control, holding roughly 80% of shares, while Chinese ownership would be capped below 20%. In addition, the U.S. government could stand to receive several billion dollars in associated financial benefits.
For now, however, the agreement has not been finalized. Trump has already signed a fourth extension of the executive order banning TikTok in the U.S., giving both Washington and Beijing until the end of December to resolve the matter.
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