‘Something to Get It Done’: President Donald Trump Suggests Chinese Tariff Cuts in Exchange for TikTok Deal

TikTok has until April 5 to find a buyer, but Trump also said he could extend the deadline again.

By Sherin Shibu edited by Melissa Malamut Mar 27, 2025

Key Takeaways

  • President Donald Trump said on Wednesday that he could potentially reduce tariffs on China in exchange for the country’s cooperation on a TikTok deal.
  • Trump said that every percentage point in tariffs was worth more money than TikTok.
  • TikTok has been valued at more than $100 billion.

President Donald Trump suggested reducing tariffs on China in exchange for China’s support of a TikTok deal.

Since taking office, Trump has levied a 20% tariff on Chinese goods, which took effect earlier this month. He plans to announce additional tariffs next week but recently indicated that he could reduce the percentage if China agrees to sell TikTok.

According to The New York Times, Trump acknowledged on Wednesday that China was “going to have to play a role” in any sale of TikTok and said, “Maybe I’ll give them a little reduction in tariffs or something to get it done.” He also suggested extending TikTok’s April 5 deadline to find a buyer.

Related: ‘It’s Going to Be Good’: President Donald Trump Levies 25% Tariffs on Imported Cars and Parts

“Every point in tariffs is worth more money than TikTok,” Trump claimed.

President Donald Trump. Photo by Win McNamee/Getty Images

TikTok originally had until mid-January to divest from its Beijing-based parent company ByteDance or face a permanent ban in the U.S. One of Trump’s first executive actions after taking office was to extend the deadline to April 5, giving TikTok more time to find a new owner supported by the U.S.

Related: How President Donald Trump’s Tariffs Are Transforming Trade With Mexico, Canada and China

TikTok has yet to find a buyer, though everyone from YouTube star Jimmy Donaldson to Shark Tank investor Kevin O’Leary has expressed interest in buying the popular social media app.

In January, O’Leary joined former Los Angeles Dodgers owner Frank McCourt in an effort called The People’s Bid for TikTok, which offers ByteDance $20 billion in cash for the app. Reddit co-founder Alexis Ohanian also joined the bid.

Still, $20 billion could be a conservative estimate of TikTok’s worth. According to Wedbush analyst Dan Ives, TikTok is worth more than $100 billion, or about half that amount without the algorithm.

TikTok has 170 million U.S. users. The company estimated in December that a ban would cost U.S. small businesses and creators over $1 billion in revenue within a month.

Key Takeaways

  • President Donald Trump said on Wednesday that he could potentially reduce tariffs on China in exchange for the country’s cooperation on a TikTok deal.
  • Trump said that every percentage point in tariffs was worth more money than TikTok.
  • TikTok has been valued at more than $100 billion.

President Donald Trump suggested reducing tariffs on China in exchange for China’s support of a TikTok deal.

Since taking office, Trump has levied a 20% tariff on Chinese goods, which took effect earlier this month. He plans to announce additional tariffs next week but recently indicated that he could reduce the percentage if China agrees to sell TikTok.

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Sherin Shibu

News Reporter at Entrepreneur
Entrepreneur Staff
Sherin Shibu is a business news reporter at Entrepreneur.com. She previously worked for PCMag, Business Insider, The Messenger, and ZDNET as a reporter and copyeditor. Her areas of coverage encompass tech, business, strategy, finance, and even space. She is a Columbia University graduate.

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