“Trump’s Return: What It Means for U.S.-China Relations and the Future of TikTok”

As President-elect Donald Trump prepares to assume office on January 20, 2025, the dynamics of U.S.-China relations are poised for significant shifts, particularly concerning trade policies and the status of TikTok in the United States.

U.S.-China Relations Under the New Administration

During his campaign, President-elect Trump emphasized a more assertive stance toward China, focusing on trade imbalances and national security concerns. This approach suggests the possibility of renewed trade tensions, reminiscent of the earlier trade wars between the two nations. Analysts anticipate that the Trump administration may implement additional trade and investment restrictions targeting China, potentially leading to a second trade war. 

Despite these anticipated challenges, recent diplomatic engagements indicate a nuanced approach. On January 17, 2025, President-elect Trump had a “very good” phone conversation with Chinese President Xi Jinping, during which both leaders expressed a commitment to fostering a more peaceful world.  Additionally, China’s Vice President Han Zheng met with U.S. Vice President-elect J.D. Vance and business leaders, including Elon Musk, to discuss mutual interests and potential areas of cooperation. 

The TikTok Ban: A Reassessment

TikTok, the popular video-sharing platform owned by Chinese company ByteDance, has been at the center of U.S. national security debates. In 2020, the Trump administration sought to ban the app, citing concerns over data privacy and potential influence from the Chinese government. As of January 18, 2025, TikTok services were suspended in the U.S. following the enactment of a ban. 

However, on January 19, 2025, President-elect Trump announced plans to delay the ban, proposing a joint venture where the U.S. would own 50% of the app to safeguard national security interests. He intends to issue an executive order extending the ban’s effective date to allow time for an appropriate deal. This move has sparked discussions among lawmakers, with some emphasizing the necessity of a complete divestiture from Chinese ownership to address security concerns adequately. 

Implications for the Future

The evolving policies of the incoming administration suggest a complex interplay between confrontation and cooperation with China. While there is a clear intent to address longstanding trade and security issues, recent diplomatic engagements indicate a willingness to negotiate and find mutually beneficial solutions. The proposed restructuring of TikTok’s ownership exemplifies this balanced approach, aiming to protect national interests while maintaining cultural and economic exchanges.

As the new administration takes office, stakeholders in both countries will be closely monitoring these developments, understanding that the actions taken in the coming months will significantly influence the trajectory of U.S.-China relations and the global economic landscape.