TikTok owner says any agreement with US subject to Chinese law, a move that could drastically affect the platform’s future in the American market. This statement from ByteDance follows former US President Donald Trump’s decision to extend the deadline for the platform’s forced sale by 75 days—granting the company more time, but not necessarily more certainty.
As tensions between Washington and Beijing continue to simmer, TikTok’s operations in the US hang in a delicate balance shaped as much by diplomacy as by commerce.
1. ByteDance Declares: “Chinese Law Comes First”
ByteDance confirmed on Saturday that while discussions with the US government are ongoing, no final deal has been signed. In a statement released through Chinese state media, the company emphasized:
“An agreement has not been executed. There are key matters to be resolved. Any agreement will be subject to approval under Chinese law.”
This firm position means any sale or restructuring involving US entities will need a green light from Chinese regulators—potentially slowing or even halting negotiations.
2. Trump Offers Reprieve: 75 Extra Days to Finalize a Deal
President Donald Trump, returning to office earlier this year, has opted for a second extension on the TikTok deadline, buying the app more time after it briefly shut down ahead of his inauguration. The 75-day window allows ByteDance to explore acquisition options, but Chinese legal involvement may complicate things further.
3. Supreme Court Upholds Law Requiring TikTok Sale
TikTok challenged the law passed under Joe Biden’s administration, which mandates that ByteDance either sell the US arm of TikTok or face a ban. However, the US Supreme Court upheld the legislation, reinforcing the federal government’s stance on national security risks posed by foreign-owned apps.
This ruling pressures ByteDance to act quickly—but Chinese approval could be the biggest stumbling block yet.
4. TikTok’s Algorithm Likely a Sticking Point
When the TikTok owner says any agreement with US is subject to Chinese law, the core issue is likely the app’s advanced algorithm. Under Chinese export laws, such technologies are considered strategic assets and cannot be transferred to foreign companies without explicit government approval.
That means even if a US company buys TikTok’s user base or brand, they may not get the algorithm—a critical part of what makes the app successful.
5. US Tech Giants Eye TikTok but Proceed with Caution
Major American companies such as Amazon, Microsoft, and Oracle are reportedly exploring bids to acquire TikTok’s US operations. However, the legal uncertainties surrounding the deal and the need for Beijing’s approval are forcing bidders to tread carefully.
Some insiders suggest that negotiations could stall entirely unless there’s a political breakthrough between the two countries.
6. TikTok’s Popularity Makes the Stakes Even Higher
TikTok isn’t just a social media app—it’s a cultural powerhouse in the US, with over 170 million users, thousands of content creators, and millions in ad revenue. A shutdown or forced transition without full access to the app’s technology could significantly affect its user experience and market value.
With elections approaching, TikTok could also become a key talking point in political debates on tech regulation and digital freedom.
7. China Holds the Final Card
Despite active negotiations with the US, the message is clear: TikTok’s fate will ultimately be decided in Beijing. ByteDance’s statement affirms that even if Washington and an American buyer agree on terms, the Chinese government’s approval is mandatory—and not guaranteed.
This means that the platform is not only navigating a business transaction but also walking a tightrope of international politics.
