China signals it is open to a deal keeping TikTok in US
Subscribe to enjoy similar stories. SINGAPORE—China suggested it was willing to work with Donald Trump to keep TikTok operating in the U.S. The Chinese Foreign Ministry said Monday that companies can make their own decisions on operations and acquisitions, a reversal of the government’s previous position that it would block any forced sale of TikTok.
It was the ministry’s first comment after Trump said Sunday, a day before his inauguration, that he wanted U.S. and Chinese interests to split control of the app 50-50. TikTok’s founder, Zhang Yiming, has one connection that could help smooth the way for dealmaking: Elon Musk.
Zhang, China’s richest person, and Musk, a Trump confidant and the world’s richest person, spoke last year after it became apparent that Congress would pass a law to ban TikTok in the U.S., according to people familiar with the matter. The law passed in April 2024 and went into effect Sunday following a Supreme Court ruling that it was constitutional. After a frenetic weekend when TikTok went dark for about 14 hours in the U.S., the app resumed operations, and the company credited assurances by Trump.
Zhang has a 21% equity stake in TikTok’s Beijing-based parent, ByteDance, and majority control over the company through extra voting rights. In a reminder of the Chinese government’s influence, Foreign Ministry spokeswoman Mao Ning said any deal should comply with Chinese regulations. Musk has repeatedly argued against banning TikTok and has generally positive relations with Chinese officials.
Tesla, Musk’s electric-vehicle company, has a major presence in China. Chinese officials have internally discussed allowing Americans they trust such as Musk to invest in TikTok’s U.S. operations.
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