President Donald Trump has indicated a final deal on TikTok’s U.S. operations could be signed as early as this Thursday, following a “provisional approval” from China’s President Xi Jinping. This latest development comes after a prolonged period of shifting deadlines, executive orders, and intense negotiations marked by national security concerns, potential tariffs, and strong opposition from the Chinese government.
The saga surrounding TikTok’s future in the United States has once again taken a dramatic turn. U.S. President Donald Trump recently announced that he might sign a final deal on the popular social media platform this Thursday. This statement, made while en route to Japan from Malaysia, revealed a “provisional approval” from Chinese President Xi Jinping, whom Trump is slated to meet later this week in South Korea during his Asia tour, according to Reuters.
A Winding Path: The TikTok Ban and Repeated Extensions
The potential deal on Thursday is the latest chapter in a long-running saga that has kept TikTok’s 170 million U.S. users and its parent company, ByteDance, on edge. The initial efforts to ban the app began as early as August 2020 during Trump’s first administration, citing national security concerns. However, the situation escalated significantly in the spring of 2024 when former President Biden signed the “Protecting Americans from Foreign Adversary Controlled Applications Act” into law.
This critical legislation mandated that TikTok be sold to a U.S.-owned company to continue operations in the nation, directly addressing security concerns related to the app’s connections to the Chinese government. The law was upheld by the Supreme Court, leading to a brief 12-hour blackout of the app for U.S. users in January 2025.
Upon his inauguration on January 20th, President Trump signed an executive order, granting an initial 75-day extension to the deadline for a sell-off. As the extended deadline loomed on April 5th, Trump issued yet another executive order via Truth Social, pushing the deadline further to June 19th. He stated that “tremendous progress” had been made, but “more work to ensure all necessary approvals are signed” was required.
The Heart of the Matter: National Security and Ownership
At its core, the drive to divest TikTok stems from profound national security fears. U.S. officials worry that the Chinese government could access sensitive user data or influence content on the platform, posing a risk to American interests. The “Protecting Americans from Foreign Adversary Controlled Applications Act” was specifically designed to mitigate these risks by forcing a change in ownership.
Despite the complexities, Trump has consistently expressed a desire to see TikTok “remain alive” in the U.S., emphasizing that the ultimate decision power lies with him, granted by Congress. This stance contrasts with his earlier rhetoric where he reportedly considered that a ban would empower Facebook, a platform he has often criticized as an “enemy of the people.”
A Flurry of Potential Buyers and Chinese Resistance
Throughout the various deadlines, a diverse array of companies and individuals expressed interest in acquiring TikTok. Potential buyers have included:
- Amazon
- Oracle (with ally Larry Ellison often cited as a frontrunner)
- Microsoft
- Perplexity (an AI company)
- Blackstone (a private equity company)
- Elon Musk
- Tim Stokely (OnlyFans founder)
- Kevin O’Leary (from “Shark Tank”)
- MrBeast (YouTuber)
- Walmart (reportedly considering a bid)
The White House has even reportedly considered alternative solutions, such as ByteDance retaining ownership of TikTok’s powerful algorithm but leasing it to a U.S.-based entity to run the application. However, the path to a deal has been fraught with challenges, primarily due to the staunch opposition from the Chinese government.
Tariffs and Diplomacy: The China Factor
The Chinese government has consistently opposed any forced sale of TikTok, imposing its own strict conditions on potential transactions. A significant point of contention arose when a deal that would have spun off U.S. TikTok into a new company, with ByteDance holding a minority stake, reportedly collapsed in April. This breakdown, according to a Bloomberg report, occurred after President Trump’s announcement of new reciprocal tariffs, which included a 54% tariff on Chinese goods.
Trump has openly used tariffs as a negotiating tool, implying that countries offering “phenomenal” deals could see tariff reductions. He explicitly stated he would be “willing to offer tariff relief” to China if TikTok was sold. However, China swiftly retaliated by imposing its own 34% tariffs on U.S. goods, underscoring the deep economic tensions intertwined with the TikTok negotiations. ByteDance itself has confirmed discussions with the U.S. government but noted that “an agreement has not been executed” and “key matters to be resolved,” with any deal subject to Chinese law.
The Broader Impact: From Creators to Global Relations
The ongoing uncertainty has a tangible impact on TikTok’s vast user base and the creators who rely on the platform for their livelihoods. Each extension brings temporary relief but fails to resolve the fundamental regulatory purgatory. The app’s value, estimated by Wedbush analyst Dan Ives to be “well north of $100 billion” with its algorithm, highlights the significant economic stakes.
Globally, the situation reflects broader geopolitical tensions. While the U.S. pushes for divestment, other nations like the UK have stated they have “no plan” to ban the app, viewing it differently from a national security perspective unless direct threats emerge. Meanwhile, TikTok also faces a separate challenge in Europe, where its parent company, ByteDance, is set to be fined over $552 million for allegedly illegally shipping European users’ data to China, violating GDPR privacy laws.
As President Trump heads to South Korea to meet Xi Jinping, the possibility of a final TikTok deal hangs in the balance. The path has been long and complex, shaped by national security demands, intricate economic leverage, and the unpredictable dynamics of international diplomacy. For users and creators, the hope remains that a stable, long-term solution can be found, allowing TikTok to continue its operation without the looming threat of closure.
