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TikTok Resolution Could Signal Trade Thaw Between US and China

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HONG KONG, Jan 22 – A resolution to the TikTok controversy could serve as a catalyst for improving trade relations between the United States and China. The situation intensified when U.S. President Donald Trump threatened substantial tariffs of up to 100% on Chinese imports if China prevents ByteDance from selling its popular video-sharing app, which has attracted 170 million American users and raised national security concerns.

The administration’s latest executive order postponing TikTok’s ban indicates a willingness to find common ground. China’s stance appears to be softening as well, with its foreign ministry now advocating for company autonomy in business decisions. This diplomatic shift gains further significance amid reports that Chinese officials are considering Tesla CEO Elon Musk as a potential buyer for the platform.

A successful resolution could have broader implications for bilateral relations. As China grapples with meeting existing trade commitments and economic challenges, a positive outcome in the TikTok negotiations could create momentum for addressing other trade disputes. The timing aligns with President Xi Jinping’s strategic pivot toward core technologies like artificial intelligence and semiconductors, potentially making TikTok less central to Beijing’s priorities.

The proposed deal, valued at approximately $100 billion, presents an opportunity for both nations to demonstrate pragmatic cooperation while addressing their respective concerns about security and commerce. As both countries prepare for future trade discussions, resolving the TikTok issue could represent a significant breakthrough in their complex relationship.

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