Trump Considers Reducing Tariffs to Negotiate TikTok Sale with China
Donald Trump has expressed the potential of reducing tariffs on China to facilitate a TikTok sale. His remarks occurred during a press conference amid escalating trade tensions. He emphasized that any agreement may require Chinese approval and suggested a deadline extension for TikTok’s sale due to significant interest from buyers.
Former President Donald Trump has hinted at the possibility of reducing tariffs on China to facilitate a deal concerning TikTok. During a press conference held in the Oval Office, he stated, “Maybe I’ll give them a little reduction in tariffs or something to get it done.” This remark comes amidst rising trade tensions between the United States and China.
In his remarks, Trump emphasized that China must be involved in the sale of TikTok and might need to provide approval for the transaction. He further commented that the financial implications of tariff reductions could outweigh the value of TikTok, saying, “because every point in tariffs is worth more money than TikTok.”
Trump also suggested that he might extend the deadline for TikTok’s sale, citing its popularity and the significant interest from potential buyers. TikTok was facing a looming ban after the Senate passed a divest-or-ban law that required the app to sever ties with its parent company, ByteDance, by January 19.
The ban, however, was delayed for 75 days following an executive order Trump signed on January 20. TikTok needs to identify a new U.S. owner by April 5. Several notable figures, including Steve Mnuchin and Alexis Ohanian, have expressed interest in acquiring the app.
Trump’s tariff policy has a contentious history, beginning with a 10% tariff on Chinese goods imposed shortly after he took office, framed as a measure to deter fentanyl smuggling into the U.S. Over time, tariffs escalated, with Trump indicating he would impose rates exceeding 60% if re-elected. In retaliation, China has implemented tariffs on various U.S. goods, further heightening tensions between the two nations.
Trump’s recent statements indicate a strategic approach to negotiating TikTok’s sale, suggesting that reducing tariffs on China might be a key element of such a deal. Amid escalating trade tensions, Trump’s history of imposing significant tariffs highlights the complex relationship between the United States and China. The outcome of the TikTok sale remains uncertain as multiple investors show interest amid the regulatory pressures from the U.S. government.
Original Source: africa.businessinsider.com
Post Comment