Revised export rules in China updated on Friday. According to the the Chinese Government it is considered to cover a variety of sensitive technologies. Later on the country’s official Xinhua news agency published that now TikTok’s parent company. Beijjing based ByteDance probably need a license to sell its technology to an American suitor.
As per the revised export rules in China Beijing’s assertion of authority is before the Trump bans the TikTok application to buy TikTok’s U.S. operations. TikTok and potential American buyers including Microsoft and Oracle let squeezing them in the middle of a scuffle. In between the United States and China over the future of global technology. At the application TikTok we welcome competition. TikTok requires fair competition and it makes all of us better. TikTok is the globally most used app where users can post short videos. It is one of the most popular apps among teens and young adults.
“At a minimum they’re flexing their muscles and saying, ‘We get a say in this and we’re not going to be bystanders.” said Scott Kennedy who is a senior adviser at the Washington-based Center. “It could be an effort to outright block the sale, or just raise the price, or attach conditions to it to give China leverage down the road,”
Trump administration’s bluff by forcing the U.S. government to restrict the the TikTok app if actually Beijing blocks the sale of TikTok. bBy ordering companies like Apple and Google to take down TikTok in app stores could globally promote anger issues with Trump.
Comments on Revised export rules in China :
After the article got publish the companies like ByteDance and Oracle do not comment. Microsoft did not get immediate comments. Moreover, U.S. Department of Commerce also do not respond to the requests. However, the use of exports is more llikely hurdles for the Chinese government by the Trump administration.
Kennedy stated that China’s ultimate motivation in holding up the deal could be at minimum a “kneejerk assertion of sovereignty.”
Doug Jacobson who is a partner at the Washington trade law firm Jacobson Burton Kelley says “It’s going to depend on how the transaction is structured and also just how this technology is embedded or incorporated into the code itself,”. The impact of China’s new rules would axle on how essential the technology in question was to TikTok’s app.