Trump says TikTok deal talks with China to begin this week

Trump says TikTok deal talks with China to begin this week

A view shows the office of TikTok in Culver City, California, March 13, 2024. Photograph: (Reuters)

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A deal to spin off TikTok’s US operations into a separate American-owned entity had been progressing earlier this year, with several US investors poised to take majority control.

US President Donald Trump has announced that formal talks with China will begin this week over the long-awaited sale of TikTok’s US operations. Speaking to reporters aboard Air Force One on July 4, Trump said discussions with Chinese President Xi Jinping or his representatives could begin as early as July 7 or 8. “I think we’re going to start Monday or Tuesday ... talking to China, perhaps President Xi or one of his representatives, but we pretty much have a deal,” Trump said, indicating that negotiations are entering a critical phase.

TikTok, the popular short-video app owned by Beijing-based ByteDance, has faced mounting pressure in the US over national security concerns. Earlier this year, the US Supreme Court upheld legislation requiring ByteDance to divest TikTok’s US assets. The Biden-era law was scheduled to take effect just before Trump’s inauguration, but Trump has since extended the compliance deadline three times, most recently pushing it to September 17.

Deal stalled amid trade tensions

A deal to spin off TikTok’s US operations into a separate American-owned entity had been progressing earlier this year, with several US investors poised to take majority control. However, the plan was abruptly halted after China signalled its disapproval, largely in response to Trump’s new wave of steep tariffs on Chinese imports. Trump acknowledged that any final agreement would likely need Beijing’s approval. “I'm not confident, but I think so,” he said when asked if China would sign off on the deal. “President Xi and I have a great relationship. I think the deal is good for China, and it's good for us.”

White House Press Secretary Karoline Leavitt emphasised Trump’s intention to avoid a complete TikTok ban. “As he has said many times, President Trump does not want TikTok to go dark,” she noted in June.

TikTok, which has around 170 million users in the US, expressed gratitude for the administration’s engagement. “We are grateful for President Trump’s leadership,” the company said in a recent statement, adding that it would continue working closely with Vice President JD Vance’s office.

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Despite bipartisan support for a sale, critics like Democratic Senator Mark Warner have accused Trump of bypassing the legislative process through executive orders, arguing the approach risks undermining broader tech security efforts.

(With Inputs from agencies)

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