Washington – The Trump administration reiterated its call for TikTok to transition to U.S. ownership, citing national security risks posed by its Chinese parent company, ByteDance, despite President Donald Trump’s personal affinity for the platform.
Commerce Secretary Howard Lutnick emphasized the administration’s stance in a Fox News Sunday interview, acknowledging Trump’s frequent use of TikTok to engage with younger voters but stressing that Chinese control over an app used by roughly 170 million Americans is untenable.
Key Points:
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Trump’s Position: The president has repeatedly praised TikTok as an effective communication tool but insists it must operate under American ownership to mitigate data security risks.
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Ownership Shift: Lutnick stated the app must adopt U.S.-based technology and algorithms, aligning with a potential forced divestment under the recently revived Protecting Americans from Foreign Adversary Controlled Applications Act.
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Ongoing Scrutiny: The administration’s push comes as TikTok continues negotiating with U.S. officials to avoid an outright ban while maintaining its user base.
Broader Context:
The White House has escalated pressure on TikTok since Trump’s re-election, reviving concerns that Beijing could exploit the app for espionage—an allegation the company denies. A recent U.S. intelligence report warned of ByteDance’s potential to share American user data with the Chinese government, though no evidence of such activity has been made public.
Market Reaction:
Potential buyers, including former Treasury Secretary Steven Mnuchin’s investor group and Oracle (ORCL.N), have expressed renewed interest in acquiring TikTok’s U.S. operations. A forced sale could face legal hurdles, however, as ByteDance has previously challenged similar mandates in court.
Quote:
“This isn’t about banning a popular app—it’s about safeguarding Americans’ data,” Lutnick said. “The president wants TikTok to thrive, but under American control.”
The administration has not set a deadline for divestment, but legislative efforts could accelerate if talks stall. Meanwhile, TikTok continues lobbying Congress, arguing that a sale would not fully address data-flow concerns.