President Trump’s first big test: America’s TikTok ban

Last week, the Supreme Court upheld a federal law requiring the popular social media app TikTok to be divested in favour of non-Chinese ownership by its China-based parent company, ByteDance, or be banned. 

The court rejected the social media company’s argument that the law violated the First Amendment rights of TikTok and its content creators. 

On Sunday, the app went ‘dark’ in the US [but on Monday, Trump issued an executive order to delay the ban by 75 days].

Yet, as president, it will be Trump’s duty to “take care that the laws be faithfully executed." That means he will have to enforce the statute.

The ban, passed with large bipartisan support and signed into law by former US president Joe Biden in April, was designed to protect the private data of US users from a hostile foreign adversary.

Also Read: What TikTok failed to understand about America: Democracy

During his first term, Trump issued an executive order prohibiting ByteDance from engaging in financial transactions in the US on the grounds that it posed a risk to national security because the app “automatically captures vast swaths of information from its users and is susceptible to being used to further the interests of the Chinese government." 

Those sanctions were tied up in court and did not go into effect before Congress passed the current law.

However, as Trump returns to the White House, he seems to have had a change of heart. 

Shortly before the law was passed, Trump spoke out against the ban, causing some critics to speculate that he was being transactional, seeking to curry favour with billionaire donor Jeffrey Yass, a 15%-owner of ByteDance.

Trump also used the app with great success during the 2024 presidential campaign, amassing more than 14 million followers. 

Importantly, he promised to “save TikTok." He recently became cosy with TikTok CEO Shou Zi Chew, meeting with Chew at Trump’s Mar-a-Lago estate in December. 

He had also invited Chew to Monday’s inauguration.

Chew thanked Trump for his support in a video message Friday after the Supreme Court decision.

Also Read: Trump’s second presidency signals the end of the Washington Consensus

As the deadline approached, Trump sought to intervene in the Supreme Court case.

Legal documents filed by his lawyers asked the court to delay its decision until he took office, in part because “President Trump alone possesses the consummate dealmaking expertise, the electoral mandate, and the political will to negotiate a resolution to save the platform while addressing the national security concerns expressed by the Government."

Last week, the Biden administration had said it had no plans to initiate lawsuits enforcing the ban before Trump took office [as he did on Monday]. 

Trump said on Friday that he would decide whether the ban would go into effect. “Congress has given me the decision, so I will be making the decision," he said.

Not quite. 

While the statute authorizes the president to approve any “qualified divestiture" of TikTok from ByteDance, it does not permit him to simply allow the current arrangement to continue. 

The president can approve a divestiture only if it removes control from a foreign adversary. That means ByteDance must sell to a non-Chinese company.

Trump [has instead tried] to stall the ban. 

The law authorizes the president to extend the deadline by 90 days if he certifies to Congress that “there are in place the relevant binding legal agreements to enable execution of" a sale.

While the ban has been delayed, we are not even close to reaching that status. So far, ByteDance has said the app is not for sale. 

It seems highly unlikely that Trump will be able to do either of those things quickly. [The executive order issued on Monday cannot supersede the law.]

Also Read: Trump’s deeds may not have the same bite as his plans

If no divestiture occurs, the Trump administration must enforce the statute. 

The law authorizes the attorney general to bring a civil suit against American companies offering the platform for download in their app stores or providing hosting services.

Violators are subject to hefty penalties of $5,000 per user. 

For an app with about 170 million users in the US, fines could reach billions of dollars. 

The risk of penalties is designed to incentivize compliance by essential service providers—but only if it is enforced.

President Trump’s handling of the TikTok ban [once the 75-day relief period is over] will indicate whether he can fulfil his duties as America’s president to protect national security, even when it might be unpopular or conflict with his personal interests. ©Bloomberg