TikTok becomes key leverage tool in US-China trade negotiations framework

Treasury Secretary Scott Bessent and US Trade Representative Jamieson Greer met with Chinese Vice President LiFeng and Trade Minister Li Chenggang in Madrid last week. The Chinese application used by millions of Americans announced a “framework agreement” on Tiktok.

But the story is not just about Tiktok. It is also about how America uses Tiktok as a arm and why this arm is more necessary than ever.

Tiktok is an important issue in itself: control, algorithmic effect on data, foreign property – all of them are critical for national security. In addition, Tiktok is a tool that the United States can use and use in ongoing trade participation, and to resist China’s rare lands, critical minerals and semiconductors.

When I worked under the first administration of President Donald Trump (“Trump 45”), the main issues we encountered involved a great trade imbalance, intellectual property theft, cyber theft, and China’s belt and road infrastructure expansion. These were predatory practices in the field of trade, technology and finance. Today, the war card has expanded in “Trump 47”, but something unchanged, the psychological war where the Chinese always negotiates.

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During Trump 45, I was at the center of one of the most dramatic examples of this…

After a tiring monthly preparation work, in March 2018, I was careful with my flight to Beijing with careful optimism. By preparing a comprehensive framework document that summarizes a new trade agreement with China, which is an offer that will overhaul the US-China economic relationship, I led to this trip.

We sent the proposal to our Chinese colleagues a few days ago, and now our high -level trade delegation was on the way to negotiate the biggest change in trade relations within 10 years to Beijing. Character players show how important this trade agreement can be. Secretary Steven Mnuchin (Head of Delegation), Secretary David Malpass and Me (Treasury), Secretary Wilbur Ross (Trade), US Trade Representative Robert Lighthizer and several deputies, NEC Director Larry Kudlow, Secretary Ted McKinney (Agriculture and Production Policy and Production Policy (Private Assistance).

Trump’s tariffs forced China to feel heat

Before we went to the US Embassy in Beijing, Mao and every leader entertained foreign dignity, we came with about an hour to review our plans once again before going to Diaoyutai, the state guest house. However, there was a surprise in our Embassy: A brand new offer prepared by the Chinese and put forward in the eleventh hour and never seen. It was about 15 pages long – and completely Chinese!

I was one of the few people who could read in the room. After a quick screening, I told the group: “This is completely unacceptable. This document doesn’t say anything – they’re just dealing with us.” A fiery discussion began on how to react and how the Chinese will react. But there was no time to reach an agreement; It was time to go to Diaoyutai.

We had a mass exit from the safe room we met at the embassy, ​​and we all mixed with our identified cars, like a well -choreographed ballet with almost face -moving pieces. While the secretary Mnuchin stepped into the limousine to take us to the meeting, Malpass insisted on riding with the secretary and pushed me to the seat next to Mnuchin, “We should know exactly what this said – can you turn on the road?”

As I passed through the streets of Beijing, I sat in the back seat, literally I made Shvitzing as a technical term in the Chinese, and when I read the Chinese fell in our tours in English, I translated it angrily.

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Even if we climbed the stairs and entered the meeting room, none of us were not exactly sure how Mnuchin would deal with this hot potato. After Vice President Liu, the flow of diplomatic pleasures that invited us to China, “We received your draft. Thanks for sending it – but today we will use our draft.” They weren’t the preface they expected. However, he was completely consistent with the new tone in which President Trump took office.

Today, China began to control the drowning points, especially in rare land elements, critical minerals, semiconductors and advanced production capacities. The figures are clear indicators of China’s leverage.

China constitutes approximately 70 % of global rare land mining and about 90 % of the world’s rare soil treatment and separation capacity. In 2023, China checked 61 % of the global mining of rare earth magnet elements and 92 % of the refined capacity for these magnets.

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In semiconductors: US companies remain strong in chip design and advanced R & D, while China’s semiconductor industry increases the added value (from approximately 8 % to 30 % in 2001 to 2016) and China forces it to be self-sufficient in the production of mature nodes.

These are not passive metrics. China’s active leverage is already threatened by export restrictions, undergraduate controls or degradation in trade negotiations. For example, in April 2025, China – in response to the brave tariff movements of President Trump – export licenses and restrictions for seven heavy rare earth elements such as dysposium, manners, samarium and rare earth magnets – materials that are critical for home engines, wind turbines, electronic and defense systems.

The difficulties encountered in the first period of Trump developed only – alleviated. Trade deficit is large, IP and theft of technology are more dangerous, predatory development financing practices continue, and China’s control over leverage, semiconductors and supply chains in rare worlds threatens global development and American autonomy.

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Tiktok is a title problem that affects the critical issues of data on impact and national security. However, it is also an important leverage to resist the new pressure points suppressed by China. Madrid and Friday’s Trump – XI call offers the chance to reshape the wider competition.

As I showed “on a seat on the table”, during the first management of President Trump, he allowed us to stay with his strategy and policies, maximum printing on our colleagues and remaining with solid negotiation positions and clear red lines. Last week’s dialogues show that Trump will continue to insist on the substance on symbolism, a critical approach to our national interests.

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