China Backs TikTok Deal as U.S. Ownership Talks Advance

China has welcomed the framework deal to transfer TikTok’s U.S. assets to American ownership, calling it a “win-win” move that reflects mutual respect and cooperation. The agreement, reached in Madrid, would shift control of the short-video app from China’s ByteDance to U.S. investors. TikTok, with 170 million U.S. users, has been at the center of tensions between Washington and Beijing.

According to state media commentary published by the People’s Daily under the byline “Zhong Sheng” or “Voice of China,” Beijing will review TikTok’s technology exports and intellectual property licensing in line with domestic laws. The commentary stressed that the consensus with Washington aligns with principles of peaceful coexistence and balanced cooperation.

Progress on TikTok is seen as critical for unlocking broader trade discussions between the world’s two largest economies. A call between U.S. President Donald Trump and Chinese President Xi Jinping, scheduled for Friday, is expected to confirm the agreement. Analysts view the deal as a potential catalyst for renewed dialogue, following months of uncertainty tied to tariffs and technology disputes.

Reuters reported the current framework resembles an earlier agreement that was abandoned after new U.S. tariffs on Chinese goods were announced. This time, however, the approach is being viewed as more durable, with both governments signaling willingness to finalize terms.

U.S. Treasury Secretary Scott Bessent, who met with Chinese negotiators earlier this week, suggested the September 17 deadline could be extended by 90 days to ensure the deal’s completion. The extension would allow more time to resolve legal and licensing details while avoiding disruption of TikTok’s U.S. operations.

With high stakes for investors and users alike, the TikTok deal could mark a turning point in U.S.-China tech relations, potentially easing tensions and paving the way for deeper economic cooperation.