Trump's TikTok Tariff Tactics: A High-Stakes Game

President Trump is considering reducing tariffs on China to facilitate a deal for ByteDance to sell TikTok. The app faces a U.S. ban on national security grounds. Trump may use tariffs as leverage, extending an April deadline if necessary, as negotiations continue involving key stakeholders.

U.S. President Donald Trump announced on Wednesday his willingness to ease tariffs on China to expedite a deal with ByteDance, TikTok's Chinese parent company, for selling the popular video app, used by 170 million Americans. ByteDance faces an April 5 deadline to secure a non-Chinese buyer for TikTok, or risk a U.S. ban based on national security concerns under a law initially scheduled to take effect in January 2024.

The legislation stems from worries in Washington that ByteDance's control over TikTok could enable the Chinese government to manipulate the app for influence operations within the U.S. and collect user data. Trump indicated he could extend the deadline if an agreement is not reached, suggesting tariffs as a negotiating tool with Beijing. TikTok has not commented on these developments.

Trump's comments underscore the importance of TikTok's sale for his administration, willing to use tariffs in negotiations with China. The White House is highly involved in the talks, functioning almost like an investment bank, as stakeholders attempt to reach a deal by April 5. Free speech advocates have raised concerns, arguing the potential ban could infringe on Americans' rights under the First Amendment.

(With inputs from agencies.)