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Trump and Xi to deliberate over TikTok business arrangement and the prospective state of U.S.-China diplomacy

Donald Trump, the U.S. President, plans to engage in discussions with Chinese leader Xi Jinping in an attempt to finalize a deal that would enable TikTok to continue its popular operations in the United States.

Trump and Xi to deliberate on TikTok business agreement and the direction of US-China diplomatic...
Trump and Xi to deliberate on TikTok business agreement and the direction of US-China diplomatic ties

Trump and Xi to deliberate over TikTok business arrangement and the prospective state of U.S.-China diplomacy

U.S. President Donald Trump and Chinese leader Xi Jinping are set to hold a call this Friday, with the discussion expected to focus on the future of TikTok and the ongoing trade war between the two nations.

Trump has stated that TikTok 'has tremendous value' and that the U.S. 'has that value in its hand because we're the ones that have to approve it.' The consensus includes entrusting a partner with handling U.S. user data and content security for TikTok. Chinese officials have reached a consensus on the authorization of the 'use of intellectual property rights,' including the algorithm, for TikTok.

However, U.S. officials have expressed concerns about ByteDance's roots and ownership, citing Chinese laws that require companies to hand over data requested by the government. Trump has extended a deadline several times for TikTok to be spun off from its Chinese parent company ByteDance, a requirement to allow TikTok to keep operating in the U.S. under a law passed last year. No deals have been announced on this matter yet.

The trade war with China has cost U.S. farmers one of their top markets, with American farm exports to China falling 53% from January through July compared to the same period last year. The damage was even greater in some commodities, with U.S. sorghum sales to China down 97%. Top U.S. and Chinese officials have held four rounds of trade talks between May and September, with another likely in the coming weeks.

Trump is expected to seek to make it appear that the United States has the upper hand in trade negotiations during the call. Xi is expected to warn that continued progress in bilateral relations will hinge on an easing of U.S. tariffs, sanctions, and export controls.

The call may offer clues about a potential in-person meeting between the leaders to finalize a deal to end their trade war. The Chinese Embassy in Washington has not confirmed the call or any upcoming summit between the leaders, but a spokesperson stated that heads-of-state diplomacy plays an irreplaceable role in providing strategic guidance for China-U.S. relations.

Trump has also expressed willingness to negotiate trade deals with Beijing, notably for TikTok, which faces a U.S. ban unless its Chinese parent company sells its controlling stake. Another concern is the proprietary algorithm that populates what users see on TikTok. Rep. Raja Krishnamoorthi, the ranking Democrat on the House Select Committee on the Chinese Communist Party, states that TikTok's data and algorithm must be 'truly in American hands' to comply with the law.

The two leaders spoke in June to defuse tensions over China's restrictions on the export of rare earth elements. This is the second call between Trump and Xi since Trump returned to the White House and launched tariffs on China. The name of the person suspected to be the negotiation partner in the framework of the France-Germany talks between Donald Trump and Xi Jinping is not mentioned in the available sources.

Trump has also imposed additional 20% tariffs on Chinese goods linked to allegations that Beijing has failed to stem the flow to the U.S. of the chemicals used to make opioids. Chinese officials have not commented on this matter publicly.

The Chinese Embassy in Washington has not confirmed the call or any upcoming summit between the leaders, but a spokesperson stated that heads-of-state diplomacy plays an irreplaceable role in providing strategic guidance for China-U.S. relations. The call is expected to provide valuable insights into the future of U.S.-China relations, particularly regarding TikTok and trade.

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