Trump Signals TikTok Deal Nears Completion Amid Ongoing U.S.–China Tech Tensions

WASHINGTON, D.C. — Former President Donald Trump has suggested that a long-awaited agreement on the future of TikTok may finally be within reach, potentially preventing a nationwide ban on the app in the United States. Trump’s comments, made in a Truth Social post and later echoed in remarks to reporters, point to a possible resolution that would satisfy both U.S. national security concerns and the interests of millions of TikTok users across the country.
The post, published Monday morning, read in part: “A deal is close! Tremendous progress has been made in securing American data while giving young people the entertainment they love. TikTok has been on the table — and we’ve made a BIG breakthrough. More to come after my conversation with President Xi!”
Though Trump did not specifically name TikTok, White House and trade officials confirmed off the record that the statement was indeed referencing the popular video-sharing app, owned by Beijing-based ByteDance. The deal reportedly emerged from the latest round of U.S.-China economic discussions held in Madrid over the weekend.
Background: How We Got Here
The controversy surrounding TikTok has been brewing for years, dating back to Trump’s first term in office. In 2020, his administration issued an executive order demanding that ByteDance divest from TikTok’s U.S. operations due to national security risks. That move was blocked by the courts, but it sparked a years-long debate over foreign ownership of social media platforms and the protection of American user data.
In 2024, bipartisan legislation — the Protecting Americans from Foreign Adversary Controlled Applications Act — was passed by Congress, giving the U.S. government authority to ban or force the sale of applications owned by companies in adversarial countries, including China. TikTok, with over 170 million U.S. users, was the law’s primary target.
The law’s deadline required ByteDance to sell TikTok’s U.S. operations or face an effective ban, pending legal challenges and regulatory review. Since then, the company has appealed the law to the Supreme Court and has also engaged in extensive behind-the-scenes negotiations with U.S. regulators and potential buyers.
What the Proposed Deal May Look Like
While no formal agreement has been announced, insiders say the outline of the potential deal includes several key elements:
- Partial divestment: ByteDance would reduce its ownership stake in TikTok’s U.S. business, potentially transferring majority control to a consortium of American investors.
- Data localization: All U.S. user data would be stored on domestic servers operated by an American tech partner, possibly Oracle, which previously entered talks during the Trump administration.
- Algorithm oversight: U.S. regulators would have limited oversight of the app’s recommendation engine, ensuring it cannot be manipulated for propaganda or misinformation.
- Compliance team: An independent, U.S.-based compliance board would be created to audit and monitor TikTok’s handling of data and algorithmic transparency.
Critics argue that such a structure could be difficult to enforce, but proponents believe it would strike a balance between national security and user rights.
Trump’s Role in the Process
Although no longer in office, Trump’s influence on this issue remains significant. It was during his first term that TikTok first faced serious regulatory pressure, and many of the legal arguments that underpin the current law stem from his administration’s national security concerns.
Trump’s tone has shifted slightly in recent months. While he previously called for a total ban on TikTok if ByteDance retained ownership, he now appears open to a compromise — likely influenced by his 2024 presidential campaign, where young voters and creators voiced strong opposition to the app’s removal.
“There’s a smart way to do this,” Trump said during a rally last week. “We want to protect our people from Chinese surveillance — 100% — but we also don’t want to shut down innovation or freedom of speech. We’re working on something big.”
Mixed Reactions from Stakeholders
Lawmakers from both parties have responded cautiously to Trump’s latest remarks. Senator Mark Warner (D-VA), chair of the Senate Intelligence Committee, said: “Any deal must be airtight. Cosmetic changes won’t cut it. We need real assurances on data control and algorithmic transparency.”
On the other hand, Senator Josh Hawley (R-MO), who has previously called for an outright ban, warned that any compromise must be more than “smoke and mirrors” and insisted that “the American people deserve clear action, not a repackaged version of the status quo.”
Tech policy experts also remain divided. While some applaud a pragmatic path forward, others warn of the challenges involved in verifying compliance from a company still partially owned by foreign stakeholders. The structure and enforceability of any agreement will likely define whether it can withstand future legal scrutiny.
TikTok’s Response and What Comes Next
TikTok has not formally responded to Trump’s statements but issued a brief press release reaffirming its commitment to U.S. users.
“We continue to pursue all legal and diplomatic avenues to protect the rights of our users and creators in the United States,” a TikTok spokesperson said. “We appreciate ongoing discussions and support from our community and partners.”
According to reports, Trump is scheduled to hold a video call with Chinese President Xi Jinping later this week. If confirmed, the deal could be formally unveiled in the coming days. That timeline is significant — not just because of looming legal deadlines but because of the broader implications for U.S.–China relations and the future of cross-border tech governance.
Final Thoughts
As the U.S. government grapples with the complexities of regulating foreign-owned digital platforms, the potential deal over TikTok could mark a turning point. Whether it ultimately satisfies lawmakers, users, and national security hawks remains to be seen.
But for now, Trump’s comments suggest that — for the first time in months — there may be a viable path forward that avoids a ban, protects user data, and preserves TikTok’s place in American digital culture.