Washington: US President Donald Trump has stated that he and Chinese President Xi Jinping approved a deal regarding TikTok's US operations during a recent phone call, although Beijing has not confirmed this assertion. Trump described the call as "productive" on Truth Social and expressed appreciation for Xi's approval of a plan that would reportedly see TikTok's US business sold to a group of American investors.
According to BBC, China's state news agency Xinhua provided a less definitive account of the conversation, with Xi indicating that Beijing "welcomes negotiations over TikTok." Trump also mentioned plans to meet Xi at the APEC Summit in South Korea and expressed intentions to visit China early next year, while Xi would travel to the US at a later date.
Trump informed reporters that a deal has yet to be signed but suggested that a formal process could occur soon. He emphasized that the US would maintain "very tight control" over the app once the deal is finalized. The proposed agreement involves a consortium of US firms, potentially including Oracle, which would enable TikTok to continue operating in the US using technology licensed from ByteDance.
A contentious point in the negotiations is the ownership of TikTok's algorithm, which is crucial for content delivery to its 170 million American users. Trump avoided detailing whether the algorithm would be replicated or retained during a recent event in the UK alongside British Prime Minister Sir Keir Starmer. He reiterated TikTok's value to the US, praising the investors involved.
Xinhua reiterated China's clear stance on TikTok, encouraging commercial negotiations that adhere to market rules and legal compliance, and advocated for a fair US business environment for Chinese companies. Meanwhile, ByteDance expressed uncertainty about the deal's status but committed to keeping TikTok available to American users, thanking both presidents for their efforts.
Some US lawmakers, including Republican John Moolenar, have raised concerns about ByteDance's potential influence through the algorithm, given its connections to the Chinese Communist Party. Initially, Trump called for a TikTok ban but has since shifted his stance, viewing the platform as crucial to his 2024 campaign.
The US Supreme Court previously upheld a law mandating ByteDance's divestment from US operations, which delayed a potential TikTok ban. The Department of Justice had previously flagged data security risks associated with TikTok.
This recent call between Xi and Trump marks their second this year, following discussions in June about China's export of rare earth minerals. Despite ongoing talks between US and Chinese officials, issues such as tech export restrictions and agricultural purchases remain unresolved, while tariffs on certain Chinese goods continue due to concerns about fentanyl trafficking.