Donald Trump’s relationship with TikTok continues to be a wild ride.
Back in 2020, during his first term, he pushed to ban the app, citing national security concerns over its Chinese owner, ByteDance, potentially sharing U.S. user data with Beijing. He signed an executive order to force a sale or ban, arguing it was a espionage risk. Fast-forward to his 2024 campaign, and Trump did a 180. He joined TikTok, racked up millions of followers (over 15 million by early 2025), and credited it for helping him reach young voters.
Why the flip? Critics say it’s opportunism—TikTok’s massive user base (170 million Americans) is a political goldmine. Supporters argue he’s pragmatic, recognizing the app’s cultural and economic weight. However, this past week Trump announced a 145% tariff on Chinese imports, singling out China while pausing tariffs on other countries for 90 days.
This came after China slapped an 84% tariff on U.S. goods, retaliating against earlier U.S. hikes (a 34% “reciprocal tariff” on April 2, building on prior levies). Trump’s justification? China’s “imprudent” retaliation and failure to play ball on trade and TikTok.
The tariff escalation has apparently tanked TikTok talks. A deal was reportedly close—Vice President JD Vance had been hammering out terms with investors and ByteDance for months. The plan? A U.S.-based TikTok owned mostly by American firms, with ByteDance holding a minority stake. China’s approval was the final hurdle, expected to clear until Trump’s tariff announcement. Beijing balked, insisting on tariff negotiations first, stalling the deal. Trump responded by extending the TikTok ban deadline another 75 days (from April 5), buying time but leaving the app’s future murky.'On The Money' columnist Charles Gasparino reports sources suggest the standoff is near intractable. China’s tying TikTok to broader trade talks, using it as leverage against Trump’s tariffs. Trump, meanwhile, has hinted at tariff relief for a TikTok deal, saying things like, “Maybe I’ll take a couple points off if I get approvals.” But with tariffs now at 145%—pushing the U.S. trade-weighted average to a century-high 24%—both sides are digging in. China’s retaliatory moves, like restricting rare earth minerals (key for tech), signal they’re not bluffing.
What to Watch
- China’s next move: Will they escalate tariffs further or signal openness to a TikTok sale?
- Market fallout: Tariffs are already rattling stocks and supply chains—can Trump sustain the pressure?
- Political blowback: Banning TikTok could cost Trump with young voters, but so could looking soft on China.
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