China’s Ministry of Commerce spokesman Gao Feng tried to quell concerns that the acquisition of TikTok by a U.S. company might be blocked, saying Thursday at a press conference in Beijing that China’s move to adjust the Catalogue of Technologies Prohibited for Export Restriction does not target any specific company.
According to the recently released new regulations, in addition to 23 new technology items that are restricted for export, they also require that the export of the restricted technology must apply for a technology export license from China’s provincial commerce department, and only after approval can substantive negotiations or technology export contracts be signed. The restrictive measures could ultimately derail the current acquisition talks as the U.S. demand to divest TikTok of its relationship with Beijing’s parent company draws nearer.
Reuters previously cited sources as saying that potential buyers of TikTok are currently discussing acquisition plans with ByteTek that include more than just key software, as a way to avoid the impact of the Chinese technology restrictions.
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