For China, TikTok becomes bargaining chip amid US tensions
China, once fiercely opposed to Washington’s efforts to force a sale of TikTok, has softened its stance, suggesting the video-sharing platform could serve as leverage in broader negotiations with the United States.
Beijing is now promoting talks on how TikTok’s Chinese parent company, ByteDance, might give up control of its US operations. Analysts say China could be eyeing concessions on trade, technology restrictions, and Taiwan in exchange for loosening its grip on TikTok’s prized algorithm — the core of its global success, News.Az reports, citing Al Jazeera.
Under Chinese export controls introduced in 2020, technologies like TikTok’s algorithm cannot be transferred without state approval. While state media previously drew a “red line” around the issue, reports now suggest that a licensing deal is under consideration.
President Donald Trump is pushing to finalize an agreement quickly, hoping it will pave the way for his first in-person meeting with Chinese President Xi Jinping since returning to office. According to US officials, the plan would see TikTok’s algorithm licensed to a new US-based joint venture overseen by Oracle, whose cofounder Larry Ellison is a close Trump ally and supporter of Israel.
The proposal would place TikTok under a seven-member board — six of them American — and ensure that its algorithm is “controlled by America,” according to the White House.
Still, questions remain. Experts note that ByteDance is unlikely to share full access to its algorithm, a technology that underpins not only TikTok but other apps in its portfolio. Any agreement may provide only limited technology or a “shell” version of TikTok US.
While a deal could ease tensions, both Washington and Beijing appear keen to avoid framing it as an explicit trade-off. Analysts suggest any concessions, such as delays to new tariffs, would be handled discreetly to preserve political optics.
China’s foreign ministry described progress as a “basic framework consensus,” emphasizing that any outcome must comply with Chinese law while protecting the interests of both sides.
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