London Daily

Focus on the big picture.
Wednesday, Jul 08, 2026

China may not like forced TikTok sale but experts warn few other options

China may not like forced TikTok sale but experts warn few other options

US President Donald Trump has threatened to put TikTok ‘out of business’ if its US operations are not sold by September 15, and experts say the short video app’s Beijing-based parent company ByteDance has few other options.

China may not agree with the US government’s forced sale of TikTok, but the short video app’s Beijing-based parent ByteDance does not have many other options, according to experts.

On Monday, US President Donald Trump threatened to put TikTok “out of business” in the country if it is not sold by September 15. He also said that the US government “should get a very large percentage of that price because we're making it possible”.

In response, China's foreign ministry spokesman Wang Wenbin said on Tuesday that the move against TikTok was “a blatant act of bullying” and “complete political manipulation”.

“In the absence of any evidence, the US has generalised the concept of national security, abused state power and unjustifiably suppressed certain non-American enterprise(s),” said Wang.

Chinese experts the Post spoke to also had harsh words for the Trump administration’s move to force ByteDance to divest its US operations.


Victor Gao, a chair professor at Soochow University who has served as former Chinese leader Deng Xiaoping’s interpreter, called it “cannibalism” and “authoritarian”.

“[The US] is using the state power to force sales,” Gao said. “This will not only damage the nation’s image and break the market economy principles it has always stuck to, but also dampen Chinese and American companies’ efforts to innovate.”




Mei Xinyu, a researcher with the Ministry of Commerce, described it as “robbery”.

“This is the opposite of China's handling of Google and Facebook,” Mei said. “China's laws and regulations are very clear. You can enter [the China market] if you want to comply, and you can quit if you don't want to comply.

The United States does not have such clear laws and regulations [regarding TikTok]. Touting the rule of law in the US has become a joke.”

However, the experts agreed that ByteDance has few options given the current situation – it can either sell TikTok, shut it down or legally challenge the US decision in court, with the latter option having little chance of success.

In a letter to employees on Monday, ByteDance founder Zhang Yiming said he “understands” but “disagrees” with the conclusion by the inter-agency Committee on Foreign Investments in the United States (CFIUS) that the company must fully divest TikTok’s US operations, adding that the “end solution” is still unknown.

“We have always been committed to user safety, platform neutrality, and transparency. However, we understand their decision in the current macro environment,” Zhang said in the letter.

In a separate statement the same day, ByteDance said that while facing “complex and unimaginable difficulties” in the global environment, it would “actively use the rights granted to us by the laws to protect the legitimate rights and interests of the company”.




Dov Levin, an assistant professor of international relations at the University of Hong Kong, said that Bytedance can try to get an injunction against Trump's order in a US court.

But “the chances of success [of legally challenging the US decision] aren't high given that this is being done by the US government using a national security justification, which US courts in practice rarely review or overturn,” Levin added.

The best option for ByteDance, according to Dong Jielin, a research fellow at Tsinghua University's China Institute for Science and Technology Policy, is to sell TikTok in the US.

“If it chooses to quit the US rather than being sold, the stakeholders aren’t going to get a penny, which will be an irrational decision for a company,” Dong said.

Dong added that it was unlikely that the decision on TikTok would be relaxed, given that China has also blocked products by many major US tech companies.

“If TikTok can operate in the US freely, China will accordingly have to let American giants like Facebook and Google in, which for Beijing is not going to happen.”

Microsoft said on Monday that it was continuing talks to acquire the US operations of the video-sharing app after a meeting between its CEO Satya Nadella and Trump. Aside from the American software giant, there are at least two other interested buyers from the tech industry in talks with ByteDance, a person with knowledge of the matter told the Post.

For ByteDance, the loss of TikTok may not be as big a blow to the business as some may think. Although it lays claim to being probably the first Chinese app to achieve mainstream success internationally, TikTok’s Beijing-based parent company still relies mostly on its home market for revenue.

Douyin, the Chinese version of TikTok, generated about 89 per cent of the combined in-app revenue for both apps in June, according to analytics firm Sensor Tower.

The larger issue, according to Ben Wootliff, a Hong Kong-based partner at risk consultancy Control Risks, is the future of other Chinese technology companies operating in the US market.

“I don't think it's just going to be TikTok or ByteDance’s problem,” Wootliff said, adding that any Chinese technology company operating in the US market will “have to articulate very clearly how their business doesn't present any national security threat to the US, how their data is controlled, how they're aligned with the US or a benefit to the US” going forward.

“Even with that it could be difficult for them to persuade national security stakeholders in the US,” he said.

Newsletter

Related Articles

0:00
0:00
Close
Federal Financial Framework Shifts as Treasury Launches Universal Savings Program for Minors
French Court Allows Le Pen to Run for Presidency, but with an Electronic Tag: "I Will Appeal, and I Will Run"
$1.4 Trillion: The Lawsuit That Could Crush Meta
Europe's Growing Struggle with Extreme Heat and Air Conditioning
UK Daily Briefing: Legal Developments and Social Issues
Political Turmoil and Rising Costs
Anthropic Reengineers Agentic Architecture to Shift Autonomous Workplace Automation to the Cloud
Logic Flaw in Windows 11 Permission Architecture Silently Consumes Hundreds of Gigabytes of Local Storage
Apple Advances Late-Stage Operating Systems with Fourth Beta Deployments
Global Crisis Alert: Escalating Middle East Tensions and UK Political Upheaval
UK Parliament Pushes for Greater Domestic Control Over Critical Technologies
UK Parliament Warns Trade Fair and Exhibition Industry Is Losing Global Competitiveness
Police Launch Murder Investigation After Mother and Two Children Found Dead Near Bedford
British Chambers of Commerce Survey Shows Business Confidence Falls to Post-Pandemic Low
UK Parliament Report Warns Britain Risks Falling Behind in Artificial Intelligence Sovereignty
Office for Budget Responsibility Warns United Kingdom Faces Long-Term Fiscal Pressures
Nigel Farage Resigns as Member of Parliament Amid Financial Scrutiny and Triggers By-Election
Deep Purple Has Released Its Best Album in Decades
UK MPs Criticise Student Loan System as Potentially Mis-Sold to Millions of Borrowers
Policy Groups Propose Bank of England-Backed Solar Loan Scheme for Millions of Homes
UK Health Agency Issues Amber Heat Alerts Across Six Regions as Temperatures Rise
Royal Air Force F-35 Jets Conduct First High North Air Policing Missions From Aircraft Carrier
Major UK Companies Join Government Cybersecurity Pledge Amid Rising Digital Threats
UK Sanctions Russian Operatives Linked to Chemical Weapons Programmes and Poisoning Cases
UK Government Expands Free Breakfast Clubs and Limits School Uniform Costs
UK Water Companies Face Tougher Penalties Under New Environmental Enforcement Rules
UK Universities Warn Funding Cuts Could Damage Skills Pipeline and Economic Growth
NHS Expands Artificial Intelligence Tools to Help Reduce Patient Waiting Lists
NHS Ombudsman Criticises Failures in End-of-Life Communication and Patient Care
NHS Launches Nationwide Vaccination Drive After Rise in Measles Cases
UK Government Introduces New Limits on Foreign-Linked Political Donations
Thames Water Creditors Advance £10 Billion Rescue Plan to Prevent Potential Public Ownership
Andy Burnham Prepares Labour Leadership Platform as Party Faces Post-Starmer Transition
UK Met Office Issues Heatwave Alerts for London and Southern England
Keir Starmer Blocks Earlier World Cup Kick-Off Time for England Match Against Mexico
NHS Digital Transformation and Media Consolidation Highlight UK Policy Priorities
UK Government Pushes Digital Trade Rules to Cut Export Costs for Businesses
Bank of England Plans Leverage Rule Changes to Support Government Bond Market
UK Police Operation Targets Organised Immigration Crime Networks With Hundreds of Arrests
Yvette Cooper Calls for Global AI Rules to Prevent Security Risks
NHS Begins Major AI Expansion Through £10 Billion Digital Investment Programme
UK Government Tightens Rules on Political Donations to Limit Foreign Influence
Keir Starmer Defends UK Defence Spending Plan at NATO Summit in Turkey
Comcast’s Sky Agrees £1.6 Billion Deal to Acquire ITV Media and Entertainment Division
Senior NHS Doctors Vote in Favour of Renewed Strike Action Over Pay Dispute
Andy Burnham Set to Succeed Keir Starmer as Labour Leadership Nominations Open
Microsoft Lays Off 4,800 Employees and Xbox Suffers the Hardest Blow
Office for National Statistics Updates Historical Investment Data Review to Improve Accuracy
Department for Science, Innovation and Technology Highlights Economic Gains From Digital Inclusion
Debate Intensifies Over UK Defence Strategy and Domestic Security Priorities
×