TikTok-related question avoided by China following Trump's statement of a potential agreement
In the ongoing saga of TikTok's potential sale, the latest developments suggest that while the US side appears optimistic, the main obstacle remains **approval from the Chinese government**. Former President Donald Trump has stated that talks with China are set to resume this week, possibly with President Xi Jinping or his representatives, aiming to finalize the deal.
However, behind the scenes, the negotiations are stalled because **China is using TikTok as leverage in broader trade negotiations with the US**. Sources reveal that Xi Jinping is holding off on approving any sale until China secures favorable terms in trade discussions with the White House. This suggests that TikTok’s US operations are a strategic bargaining chip for Beijing rather than simply a business sale.
Trump remains optimistic publicly, asserting that the deal would benefit both countries and predicting Chinese approval, but insiders claim that Beijing has yet to commit and that the sale cannot proceed without Xi’s confidence that China has maximized its gains in trade talks. Treasury Secretary Scott Bessent clarified earlier in June that TikTok’s fate was not part of then-current US-China trade talks, indicating the issue remains separate and contentious.
Regarding a new TikTok app for US users, no new information about launching a different or separate TikTok app specifically for US users has been reported in these latest updates. The focus remains on ownership and control negotiations rather than product changes or relaunches.
In summary, the outcome of TikTok's sale depends heavily on diplomatic trade negotiations between Washington and Beijing. The US claims to have potential wealthy buyers for TikTok’s US operations, but the sale cannot proceed without China's approval. Meanwhile, China is using the sale as leverage in broader trade talks, making the deal's success uncertain.
Sources: [1] CNN, [2] Reuters, [3] The Wall Street Journal.
- The prospective sale of TikTok is beset by a significant hurdle: approval from the Chinese government, as Beijing uses the negotiations as a leverage in broader trade discussions with the US.
- Former President Trump has asserted that talks with China are set to resume this week, but insiders claim that Beijing has yet to commit, suggesting that the sale cannot proceed without Xi Jinping's confidence that China has maximized its gains in trade talks.
- The main objective of the negotiations appears to be not merely a business sale, but rather a strategic bargaining chip for Beijing in its broader diplomatic trade negotiations with the US.
- The Treasury Secretary, Scott Bessent, clarified earlier in June that TikTok’s fate was not part of then-current US-China trade talks, indicating the issue remains separate and contentious.
- Despite the ongoing negotiations, no new information about launching a different or separate TikTok app specifically for US users has been reported, suggesting that the focus remains on ownership and control negotiations rather than product changes or relaunches.
- The success of the TikTok sale hinges heavily on diplomatic trade negotiations between Washington and Beijing, with the US claiming to have potential wealthy buyers for TikTok’s US operations, yet the sale remains uncertain due to China's strategic use of the sale as a bargaining chip in their broader trade discussions.
