Jul 7, 2025, 9:20 PM
Jul 5, 2025, 6:40 PM

Trump announces potential TikTok deal as China sidesteps approval question

Highlights
  • Donald Trump claimed the U.S. is close to finalizing a deal for an American company to acquire TikTok.
  • The deal would require approval from the Chinese government amidst existing tensions between the two countries.
  • The future of TikTok remains uncertain as the September divestiture deadline approaches.
Story

In early July 2025, discussions around TikTok's future in the United States reached a critical point. During a flight on Air Force One, then-President Donald Trump stated that the U.S. was close to finalizing a deal that would involve an American company acquiring TikTok's operations in the country. This announcement came during a period of heightened tensions between the U.S. and Chinese governments, particularly concerning issues of trade and technology. Trump indicated that talks with Chinese officials were set to begin shortly, suggesting that both countries could potentially benefit from the agreement. President Trump also pointed out that the deal would likely require approval from the Chinese government, a fact that has been met with skepticism, given China's previous stance against forced sales of its tech companies. Earlier in the negotiations, ByteDance, TikTok's parent company, faced significant pressure to divest its U.S. assets by September 17 to avoid an outright ban on the app in the country. The Trump administration had been adamant about necessary compliance with national security standards, which intensified U.S.-China relations. Despite Trump's assurances of a potential deal, China has consistently sidestepped questions regarding their approval of such transactions. The Chinese government has emphasized the importance of an open marketplace for businesses and expressed its disapproval of any forced sales. Such a position was reiterated by spokespersons from the Chinese Foreign Ministry, highlighting the complexities of international negotiations faced by both sides. As these conversations unfolded, the backdrop included previous failed attempts to establish a deal earlier in 2023, when high tariffs imposed by the U.S. administration caused negotiations to stall. The future of TikTok, which boasts around 170 million active users in the U.S., remained uncertain as American lawmakers expressed strong concerns about the data privacy implications of Chinese ownership. As the September deadline loomed, both companies and government entities were under pressure to come to a resolution that could satisfy both legislative requirements and public concerns.

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