Treasury Secretary Scott Bessent finalizes deal with China over TikTok, transferring ownership and control of the platform to the United States
Following intense negotiations in Madrid, the United States and China reached a framework agreement to transfer ownership of the platform to U.S.-controlled entities.
This averts an imminent ban in the country. U.S. Treasury Secretary Scott Bessent revealed key details from Madrid. «We’ve established a framework, and they will need to confirm the agreement,» Bessent stated.
Thanks to his tough negotiations, a framework for a deal exists, and China is at the table. The talks involved the Chinese delegation, led by Vice Premier He Lifeng and negotiator Li Chenggang.
The agreement comes ahead of the September 17 deadline. Without it, TikTok would face a total shutdown in the United States. The bipartisan law of 2024 requires ByteDance, the Chinese parent company of the app, to divest.
Trump has postponed the ban three times since January 2025, recognizing its political value.
TikTok, launched in 2016 as Douyin in China, was expanded globally by ByteDance after acquiring Musical.ly in 2017 for $1 billion. Today, it boasts 1.5 billion monthly active users, including 170 million in the United States.
Its surge during the pandemic turned it into a cultural phenomenon. However, national security concerns date back to 2018. The FBI and the Federal Communications Commission warned about Beijing’s access to user data.
ByteDance could share sensitive information under Chinese laws requiring cooperation with the government. This includes location, biometrics, and consumption habits.
TikTok’s opaque algorithm raises further concerns. It controls the content users see and could manipulate opinions. Investigations revealed that Chinese employees accessed non-public U.S. user data in 2022. Additionally, the app censors sensitive topics like Tiananmen or Tibet to appease Beijing.
In 2020, during his first term, Trump attempted to ban TikTok over espionage concerns. He issued executive orders demanding its sale. However, in 2024, he shifted his stance. The platform aided his election campaign, connecting with young voters. Trump has amassed 14.7 million followers on TikTok and even opened an official White House account in August 2025.
The April 2024 law, signed by Joe Biden, was a bipartisan consensus. It bans apps controlled by “foreign adversaries” like China. The Supreme Court unanimously upheld it in January 2025, arguing that the risks outweigh free speech concerns. However, Trump suspended it with executive orders, prioritizing a “fair deal.”
Bessent emphasized the mutual respect between Trump and Xi as key. The framework preserves the app’s “Chinese characteristics,” seen as soft power by Beijing. But the U.S. prioritizes security: data stored locally with no Chinese access.
The Madrid negotiations were the fourth round in four months, covering tariffs, export controls, and rare minerals. China demanded the lifting of sanctions on its companies. Bessent rejected concessions that compromise national security. “We won’t sacrifice that for an app,” he said.
#Tiktok deal framework with #China confirmed by Treasury Secretary Scott Bessentpic.twitter.com/uxWWxuBWgu
— Susan Li (@SusanLiTV) September 15, 2025
The commercial agreement between ByteDance and U.S. investors is ready. It involves private entities, possibly with minority Chinese participation. Oracle and others have shown interest in 2025. The goal: reduce ByteDance’s stake below 20%.
From a conservative perspective, this deal is a Trump triumph. It showcases his mastery in tough negotiations against the Chinese left. Unlike Biden’s weakness, Trump forces Xi to yield without weakening the U.S. It protects the data of 170 million citizens from communist espionage.
Republican critics like Tom Cotton demand scrutiny, insisting the deal comply with the 2024 law. China hawks fear concessions on tariffs or chips. However, Bessent assures the framework respects national interests.
TikTok shapes U.S. youth culture. Its closure would have impacted creators and the digital economy. The deal saves jobs and prevents internet fragmentation. Yet, it underscores the battle for global technological leadership.
In summary, this framework marks a milestone. It transforms a threat into an opportunity, with Trump balancing security and pragmatism, strengthening the U.S. against China’s authoritarian regime.
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