The US government announced Thursday it would delay enforcement of a ban on TikTok, saying it would comply with a court order in favor of the Chinese-owned social media sensation.

The Trump administration has insisted on the need to ban the fast-growing app, saying it has links to the Chinese government through its parent company ByteDance, and that user data could be obtained by Beijing.

The hit short-form video app — which has some 100 million users in the US — was given a reprieve after the Commerce Department said it was holding off on banning it owing to an injunction by a federal judge issued on October 30.

"The department is complying with the terms of this order," it said in a statement, adding that the ban "will not go into effect pending further legal developments."

The government has launched an appeal against the judge's decision in the case, which was brought by TikTok influencers.

The White House has said TikTok must become a US firm controlled by American investors to avert a ban.

But any plan would likely need approval from Beijing, which has balked at giving up control of its social media star.

China's commerce ministry published new rules in August that added "civilian use" to a list of technologies that are restricted for export, which could make it more difficult for ByteDance to sell TikTok, which features clips of everything from dance routines to politics.

In a statement on the reprieve, TikTok said: "(We) look forward to reaching a resolution that addresses their security concerns, even as we disagree with them."

ByteDance and TikTok have proposed creating a new company with IT firm Oracle as a technology partner and retail giant Walmart as a business partner, but no deal has been confirmed.

ByteDance had been given until Thursday to restructure ownership of the app in the United States to address national security concerns, but it filed a petition in a Washington court this week asking for a delay.

The company said in a Tuesday statement that it had asked the government for a 30-day extension because of "continual new requests and no clarity on whether our proposed solutions would be accepted," but it was not granted.

A separate case brought by TikTok is pending in another Washington court, which last month blocked the US government from enforcing a ban on new downloads of the app.

Donald Trump and his aides have claimed TikTok and ByteDance can be used to collect data on Americans for Chinese espionage, a claim they deny.

Trump bans US investment in Chinese firms that help military
Washington (AFP) Nov 13, 2020 –

US President Donald Trump signed an order Thursday that will ban Americans from investing in Chinese firms that could help Beijing's military and security apparatus.

The executive order said the Chinese government obliges private firms to support these activities and through capital markets "exploits United States investors to finance the development and modernization of its military."

The ban takes effect January 11, just days before Trump's presidency ends, and is the latest move in increasingly tense US relations with the Asian power.

Investors have until November 11, 2021 to divest any holdings in the banned companies, according to the order.

Trump's declaration said American investors are helping China "to directly threaten the United States homeland and United States forces overseas, including by developing and deploying weapons of mass destruction, advanced conventional weapons, and malicious cyber-enabled actions against the United States and its people."

A statement from National Security Advisor Robert O'Brien said the order will prevent Americans from inadvertently supporting Chinese military actions.

"The President's action serves to protect American investors from unintentionally providing capital that goes to enhancing the capabilities of the People's Liberation Army and People's Republic of China intelligence services, which routinely target American citizens and businesses through cyber operations, and directly threaten the critical infrastructure, economy, and military of America and its allies and partners around the world," the statement said.

The prohibition targets 31 companies, including telecoms, aerospace and construction firms, according to press reports.