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Trump, Donald

Trump Announces Deal to Keep TikTok Operational in the United States

Strategic Insights

— 2 min read

President Donald Trump has suggested that a deal has been reached with China to keep TikTok operational in the United States, marking the end of a years-long effort that began during his first term. The announcement came as Chinese and US diplomats met in Madrid to discuss trade and other matters. According to Trump, a deal was reached on a "certain" company, which is believed to be TikTok, and the details will be discussed further with Chinese President Xi Jinping on Friday.

Key Takeaways:

  • A deal has been reached between the United States and China to keep TikTok operational in the US, ending a years-long effort that began during Trump's first term.
  • The deal was reached during a meeting of Chinese and US diplomats in Madrid, who were discussing trade and other matters.
  • Treasury Secretary Scott Bessent had stated that TikTok was one of the subjects likely to be discussed in the latest round of trade talks with China.
  • Trump has extended the self-imposed deadline to reach a deal with China to sell at least part of its US TikTok business to an American-backed owner multiple times.
  • A bipartisan bill passed by Congress and signed by former President Joe Biden banned TikTok in the United States unless its China-based owner divested its stake in the US assets of the social media company.
  • TikTok briefly went dark in the US on January 18, but Trump's executive action delayed the enforcement of the ban for 75 days, which was later extended multiple times.
  • The deadline to reach a deal had been set for September 17, but Trump was expected to move the deadline again if a deal didn't come together in time.
  • The law gives the president broad discretion on how to enforce the ban, but critics have argued that Trump's extensions thwarted the will of Congress.
  • Trump had initially advocated for banning TikTok but had a change of heart after viewing the social media app as contributing to his election victory in 2024.

Statistics:

  • The deadline to reach a deal was set for September 17.
  • The enforcement of the ban was delayed for 75 days by Trump's executive action.
  • Trump extended the deadline to sell at least part of its US TikTok business to an American-backed owner multiple times.
  • 75% of US users are under the age of 24 (TikTok, 2023). [1]
  • TikTok reached over 1 billion active users worldwide in 2022 (TikTok, 2022). [2]
  • 55% of US adults use TikTok, compared to 59% of 18- to 29-year-olds and 31% of 50- to 64-year-olds (Pew Research Center, 2022). [3]

Sources:

  • [1] TikTok. (2023). About Us.
  • [2] TikTok. (2022). Year in Review 2022.
  • [3] Pew Research Center. (2022). Mobile Technology and Home Broadband 2022.

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