TikTok: Trump Considers Further Stay in the Absence of an Agreement

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TikTok: Trump Considers Further Stay in the Absence of an Agreement

Donald Trump is considering further extending the stay granted to TikTok in the United States, whose Chinese parent company ByteDance must sell its US operations by June 19 or face a ban, unless a finalized sale agreement is reached.

Trade Tensions Between Washington and Beijing

This decision comes as the US Congress passed a bipartisan bill in 2024 requiring the sale of TikTok’s US operations to prevent Chinese control over user data and influence via the platform’s algorithm. Trump has already granted two extensions, bringing the current deadline to June 19, but negotiations remain stalled, particularly due to trade tensions between Washington and Beijing following the increase in tariffs on China.

In the Senate, Democrats are challenging Trump’s legitimacy in extending this deadline without Congressional approval. They doubt that the proposed agreements comply with current legislation. ByteDance, for its part, emphasizes that 60% of its capital is owned by non-Chinese investors. This could meet US requirements without a direct sale, but Beijing has so far refused the sale.

Thus, TikTok’s fate in the United States remains uncertain, dependent both on Sino-US negotiations and the President’s will, in a tense geopolitical and trade context.

What is Beijing’s position on the sale of TikTok’s US operations?

Beijing’s position on the sale of TikTok’s US operations is firm: China is blocking this sale and categorically opposes TikTok being sold or controlled by American investors. Beijing exercises a veto power via a golden share held in ByteDance, TikTok’s parent company, and justifies its refusal in particular by citing trade tensions.

China also sees this issue as part of a broader context of trade negotiations between Washington and Beijing. Despite US proposals, including customs concessions offered by Donald Trump, Beijing maintains its uncompromising position.

The main obstacles to the sale of TikTok according to Chinese authorities

China’s strict regulatory control over technology exports, which requires any sale or transfer of TikTok to follow official Chinese approval procedures, allowing Beijing to block the transaction. Beijing’s firm opposition to a forced sale, which it considers an attack on investor confidence and its economic sovereignty.

Trade tensions between Washington and Beijing, particularly tariff increases on Chinese products, are complicating the negotiations and are the reason for China’s refusal to approve the sale. Thus, China is using both its legal framework on technology exports and trade disputes to slow the sale of TikTok’s US operations.

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