After trade talks in Madrid, the U.S. and China have agreed a framework deal over TikTok’s ownership. US Treasury Secretary Scott Bessent confirmed the deal. 

Under the agreement, TikTok will shift from ByteDance (China) to the U.S.-controlled ownership.

The change aims to allow TikTok to keep operating in the U.S. past its shutdown deadline. 

What still needs finalising

There are several details that still need to be worked through, for instance, the exact commercial terms have not been released.

In addition, its not clear whether ByteDance will retain any stake or influence, or what “Chinese characteristics” of the app may remain in some form. 

The protection and handling of user data, as well as the algorithm TikTok uses, are among issues that need clarification.

Voices & deadlines

“The framework is for a switch to a U.S.-controlled ownership,” said Scott Bessent

Meanwhile, President Donald Trump and President Xi Jinping are due to speak on Friday to finalise remaining aspects of the deal. 

The current ban deadline is September 17, 2025. If the framework isn’t fully agreed by then, TikTok risked being shut down in the U.S. 

However, it is possible that the deadline may be extended to allow full implementation. 

TikTok has around 170 million users in the U.S. 

The agreement follows months of tension between the U.S. and China over trade, export controls, and concerns about national security. 

The U.S. law imposing the ban was passed in 2024 and has been upheld by the Supreme Court.

Written by Erastus Omondi, TV47