The U.S. and China on Monday reached a commercial agreement that would place short-video app TikTok under U.S. ownership, with final approval expected during a Friday call between President Trump and Chinese President Xi Jinping.
Treasury Secretary Scott Bessent, after a meeting with Chinese negotiators in Madrid, declined to disclose details, including whether TikTok's algorithm would be included. Chinese negotiator Li Chenggang confirmed a framework deal after "candid, in-depth" exchanges, adding the U.S. showed willingness to reduce investment barriers.
Trump extended the deadline for TikTok's divestment, with the latest set for Sept. 17. Talks came as Beijing opened an antitrust probe into Nvidia, which Bessent called "poor timing" but said discussions were "respectful, wide-ranging, and in-depth." Trump posted that the "big Trade Meeting" went "VERY WELL!" and that U.S.-China ties remain "very strong."
Source: Trading Economics
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