U.S. to ban TikTok amid China trade talks

The United States will proceed with banning TikTok unless China drops demands for reduced tariffs and eased technology restrictions as part of a divestiture agreement, a senior U.S. official revealed Monday during trade talks in Madrid.

U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng negotiations have reached an impasse over Beijing's insistence on linking ByteDance's divestment of TikTok to broader economic concessions.

The short-video app faces a potential September 17, 2025 shutdown unless it transitions to U.S. ownership as American officials characterized China's position as very aggressive.

Bessent stated unequivocally that Washington would not sacrifice national security for a social media app, reflecting hardening attitudes toward the popular platform used by 170 million Americans.

The talks occur amid escalating trade tensions, including China's announcement of an anti-monopoly investigation into U.S. chipmaker Nvidia, widely viewed as retaliation for American technology restrictions.

Beijing condemned U.S. efforts to pressure allies into tariffs on Chinese imports as unilateral bullying and economic coercion.

Analysts suggest China resists forced divestment fearing precedent for other Chinese companies, while the U.S. faces political complications from banning a platform popular with young voters.

Both parties acknowledged progress on technical details but remained divided on fundamental issues including semiconductor exports and rare earth materials trade.

The outcome remains uncertain as the September, 2025 deadline approaches, with potential extension dependent on continued negotiation progress.