US, China reach ‘framework’ deal for TikTok

The U.S. has reached a “framework” deal with China for social media platform TikTok, CNBC reported, citing Treasury Secretary Scott Bessent.

“It’s between two private parties, but the commercial terms have been agreed upon,” CNBC quoted Bessent as saying on the sidelines of a meeting between the two countries in Madrid on Monday.

The news comes barely an hour after U.S. president Donald Trump hinted on his social media platform Truth Social that a deal for the short-video app had been reached. On Tuesday, Trump told reporters that a deal has been finalized and the buyer would be announced soon.

“A deal was also reached on a ‘certain’ company that young people in our Country very much wanted to save,” Trump said in the post, adding that he will speak to China’s president Xi Jinping on Friday.

Trump’s post comes days before the fourth TikTok ban deadline on September 17, as delegations from both countries met in Madrid today to discuss economic policy. In June, the president indicated that he had found a group of buyers for TikTok.

Earlier on Monday, Reuters reported that the U.S. was ready to ban the social media app if China did not withdraw its demands for a reduction in tariffs and loosening limits around its technology.

The U.S. banned TikTok on January 19 after a federal law signed by former President Joe Biden went into effect. However, Trump has signed multiple executive orders since he took office to keep the app working in the country.

The story has been updated with Trump’s announcement about the deal on Tuesday