Trump will sign an executive order Thursday that clears the path for a TikTok deal, White House official says

President Donald Trump is poised to sign an executive order on Thursday that will facilitate a deal for the sale of TikTok’s U.S. assets to a group of American investors, according to a White House official. This significant move comes after Trump engaged in discussions with Chinese President Xi Jinping about the transaction. Earlier this year, legislation was enacted in the U.S. that effectively banned TikTok unless it divested approximately 80% of its assets to U.S.-backed investors. The forthcoming executive order is expected to clarify that the deal qualifies as a divestiture as mandated by the bipartisan law passed last year. Additionally, Trump is likely to extend the enforcement pause on the law for another 120 days, allowing ample time for the necessary paperwork and regulatory approvals to finalize the deal. This extension follows his previous decision to prolong the pause until December 17. The arrangement aims to hand over control of TikTok’s U.S. operations, including its algorithm, to a new joint venture based in America. This ownership group will consist predominantly of American investors and will be managed by a U.S.-based board of directors. Notably, Oracle is anticipated to take charge of overseeing the app’s algorithm along with data privacy matters. Furthermore, this deal could set the stage for a pivotal in-person meeting between Trump and Xi, marking their first encounter since Trump resumed office. The two leaders are anticipated to convene next month during the APEC Summit in South Korea. Stay tuned for further updates on this evolving situation.