Tiktok sales booths are sparking after US tariffs

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Tiktok encountered another obstacle in the fate of the United States, and this time, it came directly from Beijing. After Trump earlier this week raised new tariffs on China and others, the Chinese government said it would not approve an agreement to sell Tiktok's U.S. business without first addressing broader trade issues. More and more tensions have forced Trump to sign an executive order that forces Tiktok's Chinese parent to extend deadlines to find non-intelligent buyers in search of non-intelligent buyers. The deadline was originally scheduled to expire on April 5 and is part of a law passed in 2024 that calls for the divestment of Tiktok due to national security concerns. While Trump was initially ready to complete a deal that would establish a new, U.S.-owned Tiktok entity; with minority stakes in minority shares, Chinese officials reportedly refused once new tariffs were announced. Sources familiar with the negotiations said China made it clear that this would not be a green light until the trade and tariff issues were resolved in another negotiation. Delay is a major development in the already complex international technological impasse. For months, U.S. officials believe they will be close to ensuring a framework that meets national security requirements while allowing Tiktok to continue operating domestically. However, the new tariffs changed China's position almost overnight. A spokesman for ABytedance confirmed that discussions with the U.S. government are underway, but added that “critical matters still need to be addressed” and that any agreement will be “bound to comply with Chinese laws.” In other words, China has the final decision. By the way, it has not been publicly confirmed whether it intends to sell the app entirely, and Beijing’s latest move makes it unlikely to resolve. Insiders say the Chinese government is increasingly concerned about setting a precedent that could force other tech companies to fall into a similar situation.

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