The U.S. and China have finalized a TikTok ownership deal that President Donald Trump and Chinese President Xi Jinping will “consummate” when they meet this week in South Korea, Treasury Secretary Scott Bessent said Sunday.
While appearing on CBS News’ “Face the Nation,” Bessent confirmed that the long-negotiated agreement over the popular short-video app has cleared its final hurdles.
“We reached a final deal on TikTok,” Bessent said from Kuala Lumpur, Malaysia, where he’s traveling with the president.
“We reached one in Madrid, and I believe that as of today, all the details are ironed out, and that will be for the two leaders to consummate that transaction on Thursday in Korea.”
Bessent declined to elaborate on the commercial details, saying his role was to secure Beijing’s approval for the transaction.
“My remit was to get the Chinese to agree to approve the transaction, and I believe we successfully accomplished that,” he said.
The two leaders will meet in Busan, marking their first in-person encounter since 2019, the New York Post reported.
Trump’s September executive order paved the way for the deal by setting up the transfer of TikTok’s U.S. operations to American and allied investors, with Chinese ownership reduced to about 20%.
The new U.S. version of TikTok will be controlled by investors, including Oracle founder Larry Ellison, tech entrepreneur Michael Dell, and media mogul Rupert Murdoch, alongside Silver Lake Technology Management and Andreessen Horowitz.
Vice President JD Vance, who led negotiations, said the U.S. entity could be valued at about $14 billion.
The restructured TikTok will feature an American-run version of its signature recommendation algorithm, often described as the app’s “secret sauce.”
The White House has said the algorithm will be “continuously monitored” to ensure it’s free from undue influence.
The deal comes in response to a law enacted under former President Joe Biden requiring TikTok’s Chinese owner, ByteDance, to divest its U.S. operations or face a ban.
Trump delayed enforcement of that mandate several times to let negotiations proceed. The latest extension gives until Jan. 23 to complete the sale.
During the CBS News interview, Bessent also revealed that the administration’s broader trade talks with Beijing yielded progress on tariffs, agricultural purchases, and cooperation against fentanyl trafficking.
He said China dropped plans for a rare-earth export ban, while the U.S. suspended threats of a 100% tariff increase.
Bessent said American farmers, hit by years of Chinese import restrictions,”are going to be extremely happy with this deal.”
He insisted that financial support to Argentina — intended to stabilize global soybean markets — didn’t undermined U.S. producers, adding that the Exchange Stabilization Fund “has never lost money.”
Pressed on whether government shutdown might weaken Trump’s negotiating position, Bessent dismissed the notion, calling it “a global embarrassment” caused by Senate Democrats.
“It doesn’t affect his ability on the international stage,” he said, urging moderates to “be heroes” and back a temporary spending bill.
Trump, who has credited TikTok with helping him connect with millions of voters, told reporters earlier that he appreciates Xi’s approval of the deal.
“To get it done properly, we really needed the support of China,” Trump said.
AFP and Reuters contributed to this report.
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