US confirms China has approved TikTok transfer deal

Under the terms of the deal, the TikTok app will be spun off into a new US joint venture owned by a group of US investors, including Oracle and investment firm Silver Lake Partners.

US Treasury Secretary Scott Bessent said on October 30 that China has approved the transfer agreement for the short video app TikTok.

Speaking on Fox Business Network after a meeting between US President Donald Trump and Chinese President Xi Jinping, Mr. Bessent said the TikTok deal was completed in Kuala Lumpur after receiving approval from China.

He also expressed hope that the deal would be implemented in the coming weeks to months to finally resolve the issue.

In an announcement earlier in the day, China's Ministry of Commerce said the country would properly handle TikTok-related issues with the United States.

Under terms of the deal, which have been disclosed so far by the White House, the app will be spun off into a new US joint venture owned by a group of US investors, including Oracle and investment firm Silver Lake Partners.

The total stake of this investment group will be about 80%, while ByteDance, TikTok's parent company, is expected to have a 20% stake in the new entity. The board of directors of the new platform will be controlled by US investors.

ByteDance will have a representative on the board, but they will not be involved in security matters or committees related to this matter.

The announcement comes after months of back-and-forth negotiations between the US and China over the TikTok app, its algorithm and operating parameters in the US. Last month, the US government said China had agreed to a deal, but nothing had been finalised.

US talks over TikTok ownership stem from national security concerns.

During his first term, Mr. Trump raised concerns about TikTok and sought to ban the app. Former President Joe Biden then set a January 2025 deadline for a deal or the app would be shut down in the United States.

When he returned to office earlier this year, Mr. Trump said he wanted a deal and delayed the ban, keeping the app temporarily operational.

TikTok has a profound influence in the US. According to a report by the Pew Research Center, about 43% of adults under 30 in the US said they regularly get news from TikTok, a higher rate than any other social media app, such as YouTube, Facebook and Instagram./.

(TTXVN/Vietnam+)

Source: https://www.vietnamplus.vn/my-xac-nhan-trung-quoc-da-phe-duyet-thoa-thuan-chuyen-giao-tiktok-post1073941.vnp