Canada has ordered the dissolution of TikTok’s Canadian business – without banning the app itself – citing national security risks associated with ByteDance’s operations in the country.
In a Wednesday statement, François-Philippe Champagne, minister of Innovation, Science and Industry, ordered the “wind up” of TikTok Technology Canada. This may include closing its offices in Vancouver and Toronto.
He did note, however, that “the government is not blocking Canadians’ access to the TikTok application or their ability to create content.”
“The decision to use a social media application or platform is a personal choice,” Champagne’s statement continued.
A TikTok spokesperson condemned the government’s action, and vowed to challenge the order in court.
“Shutting down TikTok’s Canadian offices and destroying hundreds of well-paying local jobs is not in anyone’s best interest, and today’s shutdown order will do just that,” the spokesperson told The Register. “The TikTok platform will remain available for creators to find an audience, explore new interests and for businesses to thrive.”
A government spokesperson declined to answer questions – including those about specific national security concerns related to the video app and the decision to shutter TikTok’s in-country offices, but not ban the platform’s use.
“Unfortunately, the confidentiality provisions of the Investment Canada Act prohibit the Government from commenting further on the case,” the spokesperson deflected.
The decision to force TikTok to close its doors “was based on the information and evidence collected over the course of the review and on the advice of Canada’s security and intelligence community and other government partners,” according to the government statement.
Canada’s order comes as TikTok could get kicked out of the United States as soon as January – shortly after president-elect Donald Trump, who runs his own social network app, takes office.
The US Senate passed a bill in April that aims to force China-based ByteDance to either offload its US operations to an American buyer or face a ban. ByteDance has until January 25 to comply with the new legislation, but has also filed a legal challenge, arguing that the law violates American content creators’ First Amendment rights.
US lawmakers and government officials have long warned that Beijing is likely to abuse the app to swipe citizens’ data – or overtly spy on them – while also spreading pro-China propaganda and misinformation. ByteDance denies it has or would ever allow such a thing.
We don’t yet know what effect, if any, a second Trump presidency will have on TikTok’s future in the US. Back in 2020, then-president Trump tried to ban the video-sharing app, calling it a national security threat and signing an executive order to kick it out of the country.
In March this year, however, he said he opposed the Biden administration’s ban and would rather keep TikTok in the US than ban it as a “gift” to Meta founder Mark Zuckerberg – who Trump called “the true enemy of the people.” ®