The United States and China are poised to finalize a landmark agreement over the popular social media platform TikTok, U.S. Treasury Secretary Scott Bessent announced on Sunday.

Speaking on CBS’s Face the Nation, Bessent revealed that both nations have completed the final stages of negotiation. “We reached a framework in Madrid, and as of today, all the details are ironed out,” he said. “The two leaders will consummate the transaction on Thursday in Korea.”

Although Bessent declined to disclose specific details of the deal, he noted that his mandate was to secure China’s approval for the transaction — a task he said had been accomplished in recent days.

The move comes after months of back-and-forth discussions and repeated extensions by President Donald Trump on the deadline requiring ByteDance, TikTok’s parent company, to divest its U.S. operations or face a nationwide ban.

Under the terms of Trump’s executive order, TikTok’s American operations — including its recommendation algorithm, source code, and content moderation system — will be overseen by a new board of directors.

Oracle, led by Trump ally Larry Ellison, will assume responsibility for the app’s data security operations.

Reports indicate that Oracle, Fox Corporation, Andreessen Horowitz, and Silver Lake Management are among the key investors in the new joint venture. President Trump has reportedly confirmed Fox’s participation.

Bessent made the announcement from Kuala Lumpur, Malaysia, where trade representatives from both nations also confirmed progress on broader economic issues, including tariffs and rare earth minerals — key components in semiconductor and tech production.

U.S. trade negotiator Jamieson Greer said discussions also touched on extending the ongoing trade truce. “We talked about extending the truce, we talked about rare earths, of course, we talked about all kinds of topics,” Greer stated.

The deal’s finalization marks a significant moment in U.S.-China relations, potentially reshaping the digital and economic landscape between the two powers.

Source: Techcrunch