Commentary on Political Economy

Friday 18 September 2020

USA! USA! USA!

 

Trump Administration to Ban TikTok and WeChat From U.S. App Stores

The Trump administration issued new rules Friday morning that will cripple the operation of two popular Chinese-owned apps in the United States.

President Trump campaigning in Mosinee, Wis., on Thursday.
President Trump campaigning in Mosinee, Wis., on Thursday. Credit... Al Drago for The New York Times
Ana Swanson

WASHINGTON — The Trump administration said Friday it would bar the Chinese-owned mobile apps WeChat and TikTok from U.S. app stores as of Sunday, striking a harsh blow against two popular services used by more than 100 million people in the United States.

The restrictions will ban the transferring of funds or processing of payments through WeChat within the United States as of Sunday. In the case of WeChat, the restrictions will also prevent any company from offering internet hosting, content delivery networks, internet transit or peering services to WeChat, or using the app’s code in other software or services in the United States.

Those same prohibitions on providing services go into effect on Nov. 12 for TikTok.

“Today’s actions prove once again that President Trump will do everything in his power to guarantee our national security and protect Americans from the threats of the Chinese Communist Party,” Commerce Secretary Wilbur Ross said in a statement.

The actions follow an Aug. 6 executive order by the president, in which he argued that TikTok and WeChat collect data from American users that could be accessed by the Chinese government.

TikTok is currently in talks to be acquired by the American software maker Oracle, and could announce a deal that assuages the administration’s national security concerns. In its announcement, the Commerce Department said that the president had given until Nov. 12 for TikTok’s national security concerns to be resolved, and if they were, the prohibitions in the order could be lifted.

Oracle and TikTok did not immediately respond to requests for comment.

Mr. Ross, in an interview on Fox Business Network, said that the ban would initially have a much greater impact on WeChat.

“For all practical purposes it will be shut down in the U.S., but only in the U.S., as of midnight Monday,” Mr. Ross said.

TikTok will also face some changes, but will still be allowed to function until Nov. 12, Mr. Ross said, at which point it would face the same ban as WeChat if there is no deal that satisfies the administration’s concerns.

“As to TikTok, the only real change as of Sunday night will be users won’t have access to improved updated apps, upgraded apps or maintenance,” he said.

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