China deal hands over US TikTok operation

Washington and Beijing have struck a framework deal on transferring the American arm of the social media site TikTok to US-controlled ownership, potentially defusing a dispute over national security concerns surrounding the Chinese-owned company.

- Joseph Gedeon

Speaking after emerging from negotiations with Chinese officials, Scott Bessent, the US treasury secretary, said the deal was coming but declined to reveal commercial terms.

"We have a framework for a TikTok deal," Bessent said after high-level talks in Madrid. "We're not going to talk about the commercial terms of the deal. It's between two private parties, but the commercial terms have been agreed upon."

Bessent added that the Chinese team had made "aggressive asks" during negotiations, but didn't explain what they were.

China's senior trade negotiator, Li Chenggang, confirmed later yesterday that the two sides had reached a basic framework consensus on resolving issues related to TikTok through cooperation, reducing investment barriers and promoting trade. Li said friction between the two economic giants was normal, but warned Washington against continued "suppression" of Chinese companies.