US President Donald Trump has stated that he and Chinese President Xi Jinping discussed and approved a potential deal regarding TikTok's operations in the United States during a recent phone call. Trump characterized the conversation as 'productive' and expressed gratitude for Xi's approval of a deal that reportedly involves selling TikTok's US business to a consortium of American investors.
Nevertheless, China's official news agency Xinhua reported that Xi welcomed negotiations over TikTok but did not confirm any deal. TikTok, under the ownership of Chinese company ByteDance, has faced pressure from the US government to divest its US operations to avoid a ban.
Despite the announcement, Trump deliberately postponed implementing a ban on TikTok multiple times since it was first proposed in January, with the latest extension set to December.
As negotiations continue, the deal may involve U.S. firms, including Oracle, but the critical issue remains who retains ownership of TikTok’s powerful algorithm that provides content to its 170 million American users. Lawmakers have raised concerns about potential influence from the Chinese Communist Party if the current algorithm remains in use.
Both leaders also expressed intentions to meet again during the APEC summit in South Korea, with Trump scheduling a visit to China in early 2024. The conversations indicate ongoing diplomatic maneuvering around key trade issues between the two nations, seeking to address a range of unresolved topics including tech exports and agricultural products.
The outcome of this deal, along with the future of TikTok in the U.S., remains uncertain as both domestic and international concerns continue to shape the negotiations.
Nevertheless, China's official news agency Xinhua reported that Xi welcomed negotiations over TikTok but did not confirm any deal. TikTok, under the ownership of Chinese company ByteDance, has faced pressure from the US government to divest its US operations to avoid a ban.
Despite the announcement, Trump deliberately postponed implementing a ban on TikTok multiple times since it was first proposed in January, with the latest extension set to December.
As negotiations continue, the deal may involve U.S. firms, including Oracle, but the critical issue remains who retains ownership of TikTok’s powerful algorithm that provides content to its 170 million American users. Lawmakers have raised concerns about potential influence from the Chinese Communist Party if the current algorithm remains in use.
Both leaders also expressed intentions to meet again during the APEC summit in South Korea, with Trump scheduling a visit to China in early 2024. The conversations indicate ongoing diplomatic maneuvering around key trade issues between the two nations, seeking to address a range of unresolved topics including tech exports and agricultural products.
The outcome of this deal, along with the future of TikTok in the U.S., remains uncertain as both domestic and international concerns continue to shape the negotiations.
