TikTok Ban or Sale? Trump Suggests Tariff Reductions to Seal Sale

Former U.S. President Donald Trump has indicated that he may reduce tariff on China to finalize the sale of TikTok, the popular short-video platform owned by Chinese tech giant ByteDance. His comments suggest a potential shift in his approach to U.S.- China relations, as he seeks to reach an agreement allowing TikTok to continue operating in the United States under new ownership.

Trump also mentioned that he is open to extending the April 5 deadline for ByteDance to sell TikTok to a non-Chinese entity. This deadline stems from legislation signed into law in 2024 under the Biden administration, which required TikTok to either be sold or face a ban due to national security concerns. While initially set for early enforcement, Trump previously delayed its implementation in January, indicating some flexibility in handling the matter.

Trump Suggests Tariff Reductions to Seal Sale, TikTok Ban or Sale?

Speaking to reporters, Trump acknowledged that Chinaโ€™s approval is a crucial factor in sealing the sale. โ€œWith respect to TikTok, China is going to have to play a role in that, possibly in the form of an approval, maybe, and I think theyโ€™ll do that,โ€ he stated. He also hinted that he might offer a reduction in tariffs on Chinese goods as an incentive to secure Beijingโ€™s cooperation. โ€œMaybe Iโ€™ll give them a little reduction in tariffs or something to get it done,โ€ he added.

TikTokโ€™s Growing Influence in the U.S.

TikTok, which boasts approximately 170 million American users, has been at the center of U.S. political debates over data privacy and national security. Despite previously calling for a complete ban on TikTok during his first term, Trump has now embraced the platform. He launched his own TikTok account and has gained over 15 million followers, claiming that his content has generated billions of views, particularly during his ongoing election campaign.

U.S.-China Trade Tensions Intensify

While Trump is considering tariff reductions to facilitate TikTokโ€™s sale, his administration has simultaneously escalated trade tensions with China. Recently, he announced a 25% import tax on all cars and car parts entering the U.S., a move seen as an attempt to protect American manufacturers. Additionally, the U.S. raised tariffs on all Chinese imports to 20% earlier this month, doubling the rates imposed in early February.

China has responded by implementing its own countermeasures. On February 10, Beijing imposed tariffs ranging from 10% to 15% on certain American agricultural products. The Chinese government also blacklisted several U.S. aviation, defense, and technology firms, placing them on an โ€œunreliable entity listโ€ and restricting exports to them. Furthermore, China doubled its 10% levy to 20% on March 4, signaling a continued tit-for-tat trade dispute.

Looking Ahead: Will the TikTok Sale Move Forward?

Despite the ongoing trade war, Trump appears optimistic that at least the framework of a TikTok sale agreement could be reached by the deadline. However, given the geopolitical tensions and Chinaโ€™s firm stance on protecting its technology companies, the situation remains uncertain.

For now, TikTokโ€™s fate in the U.S. hangs in the balance, with negotiations continuing between ByteDance, the U.S. government, and potential buyers. We will see whether Trumpโ€™s proposed tariff reduction will be enough to win Chinaโ€™s approval or if there will be something more to consider.

See Also: Trump Administrationโ€™s Social Media Vetting Plan Sparks Free Speech Backlash

Onsa Mustafa

Onsa is a Software Engineer and a tech blogger who focuses on providing the latest information regarding the innovations happening in the IT world. She likes reading, photography, travelling and exploring nature.

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