TOKYO: Beijing has been rather quiet as TikTok, the first globally successful app born from its domestic tech sector, fights for its life in the US.
The debate over whether Washington will ban TikTok due to perceived national security concerns related to the Beijing base of its parent company, ByteDance, has simmered for years. In the past, Chinese officials haven’t shied from harsh rhetoric voicing opposition. But now, as a ban seems more likely than ever to take hold, Beijing is holding its cards close to the chest.
In the months since legislation that would force TikTok to divest from ByteDance has made its way through Congress and now the courts, spokespeople for China’s foreign ministry have demurred requests for comment, referring to previous remarks. Namely, a March statement from commerce officials that China will resolutely “safeguard its legitimate rights and interests.”
But it would be premature to interpret the recent silence as any sort of indication that Beijing will take this lying down. United States firms with exposure to the world’s second-largest economy, from Apple to Tesla, should brace for collateral blows if a tit-for-tat escalates.
And policymakers would be unwise to underestimate the might Beijing may deploy in response to what it has previously decried as unfair “bullying”.
A high-stakes DC Circuit Court hearing last week did not go well for TikTok. The odds of it halting a ban plunged from 70 per cent to 30 per cent, according to Bloomberg Intelligence analysts. And if it fails to win this court battle, the likelihood of undoing that loss is 10 per cent.
