Trump Weighs Tariff Cuts to Ease TikTok Sale Amid U.S.-China Trade Tensions

Proposed TikTok Deal: U.S. Investors Take Control

The proposed agreement would allow U.S.-based investors to acquire a majority stake in TikTok’s U.S. operations, reducing parent company ByteDance’s ownership to below 20%. High-profile firms involved in the negotiations include:

• Oracle
• Blackstone Group
• Silver Lake Partners

These talks are part of a broader national security initiative by the U.S. government to limit foreign control over digital platforms that hold data on American users.

Tariffs Trigger Setback in Talks

The deal has faced significant delays following President Trump’s announcement of a 34% tariff on Chinese imports. In response, the Chinese government halted the approval process for the TikTok transaction, further entangling the deal in the ongoing U.S.–China trade war.

“ “Europe must take greater responsibility for its own security,” von der Leyen stated during the Brussels launch. ”

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Deadline Extension Offers Temporary Relief

In an effort to keep negotiations alive, the White House has extended the deadline for ByteDance to divest TikTok’s U.S. assets by 75 days. The extension is intended to allow more time to:

• Finalize terms agreeable to both U.S. and Chinese stakeholders
• Address national security and data privacy concerns
• Avoid a total ban on TikTok in the American market

Geopolitics Meets Business Strategy

This unfolding saga highlights the interconnected nature of global trade, national security, and digital economy dynamics. TikTok, one of the world’s most downloaded apps, sits at the center of a complex tug-of-war between Washington and Beijing.

The outcome of the deal may set a precedent for future transactions involving foreign-owned tech platforms operating in sensitive markets.