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TikTok seems to have gained some breathing room in the United States after years of threats of a ban, following President Donald Trump suggesting on Monday that he reached an agreement with China to keep the app operational, which has about 150 million users in the country.
The news was reported by CNN and confirmed by EFE, which detailed that the agreement was reached during a round of trade negotiations in Madrid.
According to Washington, the agreement stipulates that TikTok's U.S. subsidiary will become American-owned, although Chinese representatives did not provide details and indicated that the leaders of both countries, Trump and Xi Jinping, will finalize the consensus on a scheduled phone call this Friday.
Trump preempted the negotiating teams with a message on Truth Social: "The great trade meeting in Europe between the United States and China went VERY WELL. An agreement was also reached regarding a 'certain' company that the youth of our country wanted to save very much. They will be very happy! I will talk to President Xi on Friday."
The Treasury Secretary, Scott Bessent, explained that the framework of the agreement ensures that TikTok in the U.S. will remain under the control of American capital, although he avoided specifying the commercial terms.
"The framework of the agreement is for TikTok to change to a U.S.-controlled ownership, but that will have to be confirmed by the leaders on Friday," he stated to the media in Madrid.
From the Chinese side, Deputy Minister of Commerce Li Chenggang stated that the consensus reflects a "mutual interest" and was reached thanks to the cooperation between delegations.
The deputy director of China's Cyber Space Administration, Wang Jingtao, added that the Beijing government will evaluate issues related to technology exports, algorithm licenses, and TikTok's intellectual property.
The future of the app has been uncertain since the U.S. Congress, under President Joe Biden, passed a law that prohibits its operation if the parent company, ByteDance, maintains control over its operations in the U.S. Trump, who advocated for the ban during his first term, has changed his stance, considering that the social network contributed to his electoral victory in 2024.
Negotiations regarding TikTok are unfolding alongside broader trade tensions between Washington and Beijing, which include sanctions, technological restrictions, and tariff disputes.
Madrid hosted the fourth round of talks, during which issues such as money laundering, strategic minerals, and the Nvidia case in China were also addressed.
If the agreement is confirmed on Friday, TikTok could avoid a forced exit from the U.S. market, at least for now, and ByteDance would retain an indirect stake under revised conditions.
The presence of TikTok in the United States has been a constant tug-of-war between Washington and Beijing, marked by political, trade, and legal tensions.
By December 2024, the Federal Court of Appeals confirmed the requirement for ByteDance to sell the application before January 19, 2025, under the threat of its ban in the country. This measure was supported by Congress on the grounds of national security.
Against the backdrop of a ticking clock, the Supreme Court increased pressure in January 2025. The judges , and shortly thereafter, the Supreme Court approved its suspension in the United States.
The app was blocked on January 19, on the eve of Donald Trump's inauguration, which created uncertainty about its return.
Once in power, Trump changed his strategy and proposed alternatives to avoid a complete shutdown. The president proposed the creation of a joint venture in which the U.S. would have 50% control of the application, offering a negotiated solution that would allow TikTok to continue operating under national security conditions.
In the following months, Trump maintained pressure but also opened doors for negotiation. In April, he for ByteDance to find an American buyer, and in June he extended the deadline by another 90 days, once again avoiding the immediate ban on the app.
Finally, Trump claimed to have found a buyer for TikTok, although he clarified that the deal would require approval from China.
Frequently asked questions about the TikTok agreement in the United States
What does the agreement about TikTok between the United States and China mean?
The agreement means that TikTok in the U.S. will become American-owned. This was achieved during a round of trade negotiations in Madrid, and aims to keep the app operational in the country while ensuring U.S. capital control.
What is President Donald Trump's stance on TikTok?
Donald Trump has changed his initial stance on banning TikTok, now considering that the social network contributed to his electoral victory in 2024. He has expressed his intention to reach an agreement that allows the app to continue operating under U.S. control.
How does the agreement affect the trade relationship between the U.S. and China?
The negotiations regarding TikTok are unfolding amid broader trade tensions between Washington and Beijing. These include sanctions, technological restrictions, and tariff disputes, reflecting a complex situation in bilateral economic relations.
What role have other companies played in the future of TikTok in the U.S.?
Companies like Amazon, Microsoft, Oracle, and Blackstone have expressed interest in acquiring TikTok's operations in the U.S. However, so far no offer has been officially accepted, and negotiations are ongoing in search of a suitable solution.
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