The Treasury Department told TikTok executives Friday that it would not extend the deadline, but also said it won’t yet compel the sale, according to a person familiar with the private discussions who spoke on the condition of anonymity to discuss them.
“There is no formal extension, but no plans to enforce anything,” the person said.
No new deadline, even an informal one, was given for a deal’s completion, the person added.
ByteDance previously faced a Nov. 27 deadline to divest TikTok’s U.S. business, but was granted a one-week extension by Treasury’s Committee on Foreign Investment in the United States. The passing of Friday’s deadline without a deal was first reported by Reuters.
The Treasury Department said in a statement that CFIUS Is engaging with ByteDance to complete the divestment.
TikTok’s future in the United States has been uncertain since President Trump signed a pair of orders in August that would have banned the app and forced ByteDance to sell its U.S. assets. TikTok sued to block the ban while also working to create a new ownership structure that would appease the administration.
Friday’s deadline related only to the divestiture of the company. The administration’s efforts to ban the app have been stymied by two separate court injunctions
Trump has railed against the Chinese ownership of the popular video app, raising national security concerns about Beijing’s ability to access data from American TikTok users. He gave the proposed new ownership structure with Oracle and Walmart his tentative blessing in September, but the discussion has faded from Trump’s public commentary.
The next steps are unclear. The person said talks among the companies and regulators continue.
Jeanne Whalen contributed to this report.
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