Deadline-Pressure Builds: Scott Bessent on U.S.-China TikTok Deal Before September 17
- Shivani Garg
- 17 September 2025
Introduction:
With a looming September 17 deadline, U.S. Treasury Secretary Scott Bessent announced that a framework agreement has been reached between the U.S. and China over TikTok’s U.S. operations. The deal aims to bring TikTok’s American business under U.S. control but is not yet fully finalized, leaving crucial details unresolved.
Background:
TikTok, owned by China’s ByteDance, has long faced U.S. scrutiny over national security risks, especially regarding data privacy and potential Chinese government influence. Under a U.S. law, TikTok must divest its U.S. business by September 17, 2025, or face a ban. Previous attempts at similar deals faced roadblocks, making this new framework agreement a significant development in ongoing trade and security negotiations.
Key Developments:
Framework deal reached in Madrid trade talks, but key commercial terms remain unsettled.
Focus is on shifting control of TikTok’s U.S. operations to American hands.
Debate continues over ByteDance’s future role — full divestment versus limited stake/licensing.
Issues:
National Security: U.S. seeks strict safeguards against Chinese data access and algorithm manipulation.
Cultural/Algorithmic Concerns: China aims to preserve TikTok’s “Chinese characteristics,” including its recommendation algorithm.
Uncertainty in Structure: Ownership, licensing of intellectual property, and U.S. investor roles remain undecided.
Deadline Pressure: September 17 date gives U.S. negotiating leverage but may force rushed or incomplete solutions.
Current Status:
A preliminary framework exists but requires detailed negotiations to finalize.
Rumors suggest a possible extension of up to 90 days to iron out unresolved aspects.
Both governments remain cautious: the U.S. emphasizes security while China defends its technological interests.
Conclusion:
The TikTok deal remains a high-stakes issue at the intersection of trade, technology, and national security. While progress has been made, the September 17 deadline looms large, and the coming days will determine whether TikTok’s U.S. future lies in full American ownership, partial licensing, or continued uncertainty.
