U.S. and China Strike Deal to Keep TikTok in America

The ongoing saga surrounding TikTok's future in the U.S. has reached a potential resolution with a recent deal between Washington and Beijing. President Donald Trump announced that an agreement has been reached, allowing the popular short-video app to remain operational in the United States. The deal involves the transfer of TikTok's U.S. assets from China's ByteDance to American owners, addressing longstanding concerns over data privacy and the potential misuse of U.S. user information by the Chinese government.

This development marks a significant milestone in the negotiations between the two largest economies, which have been embroiled in a broader trade war unsettling global markets. Although Trump did not provide specifics of the agreement, any finalized deal will require the approval of a Republican-controlled Congress. The divestiture of TikTok's U.S. operations was mandated by legislation passed during the Biden Administration, aiming to prevent Chinese influence over American citizens through the platform.

Previously hindered by diplomatic tensions, the deal's imminent closure, expected within 30 to 45 days, reportedly includes both existing and new investors. The transaction comes after lengthy attempts to spin off TikTok's U.S. operations, which had faced objections due to Trump's imposition of tariffs on Chinese imports. As reported by CNBC, while final validation of these details by Reuters remains pending, optimism surrounds the potential stabilization of U.S.-China relations in the tech realm. (Reporting By Andrea Shalal and Jarrett Renshaw)

(With inputs from agencies.)