An updated export rule from China could allow the country to complicate TikTok’s sale in the U.S. According to multiple media reports.
With the US government ready to ban TikTok, ByteDance is looking to crack a deal and sell it to someone worthy. Oracle, Walmart, and Microsoft are in the race to acquire TikTok.
But the new Chinese policies may put some hindrance in the TikTok deal.
Cui Fan, a professor of international trade in Beijing, told Xinhua that ByteDance would probably have to get approval from the Chinese government. He suggested the company may have to suspend negotiations on TikTok’s sale.
Trump had already issued an executive order earlier this month that would ban TikTok from the States. ByteDance too filed a lawsuit against the government. TikTok filed a lawsuit saying that
President Donald Trump’s executive order, under the International Emergency Economic Powers Act, ignored the company’s efforts to prove it doesn’t share data with the Chinese government and isn’t a national security threat.
ByteDance would look to complete the deal before the new updated Chinese policies create more problems for them. There has been no comment from TikTok’s side after China’s update in policies.