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If nothing else the ban on foreign ownership of Chinese companies alone feels like it justifies some reciprocal action. No US (or otherwise) company can operate

If nothing else the ban on foreign ownership of Chinese companies alone feels like it justifies some reciprocal action. No US (or otherwise) company can operate in China, but the reverse is not true.

bogdan 2y ago
Exactly. It's unclear whether the primary goal of TikTok regulation is to genuinely safeguard young users or to prepare the public for further restrictions on other Chinese companies. Regardless, given China's advanced development beyond what many in the West perceive, I think it's important for western countries to start taking protective measures. TikTok is unimportant in the grand scheme of things.
aragonite 2y ago
> No US (or otherwise) company can operate in China Not true taken literally, obviously; not true if taken as saying "only JVs are allowed" either. According to the Department of Commerce (https://www.export.gov/apex/article2?id=China-Establishing-an-Office https://www.export.gov/apex/article2?id=China-Establishing-a...): > A large majority of new foreign investments in China are WFOEs [wholly foreign owned enterprises], rather than JVs. As Chinese legal entities, WFOEs experience greater independence than ROs, are allowed exclusive control over carrying out business activities while abiding by Chinese law and are granted intellectual and technological rights. Also (https://arc-group.com/china-company-setup/ https://arc-group.com/china-company-setup/): > WFOE refers to a limited liability company that is 100% invested, owned by foreign investors, and independently operated. Almost 60% of foreign-owned companies are WFOEs, making it the most adopted business type. Famous multinational companies such as Apple, Amazon, Oracle, and General Electric are all examples of WFOEs.
luyu_wu 2y ago
I've seen this point scattered throughout the thread, and it seems quite popular. I don't particularly take issue with it since market reciprocity obviously makes sense, but I'm not sure that this bill should tag itself as national security in that case! Small note: Many US companies do operate in China with large margins (Microsoft, Apple, Intel, AMD, NVidia, etc). There's been a Wikipedia article cited a through times throughout this thread with a complete list of blocked domains! Just a minor nitpick, thanks for the thoughts still.

If nothing else the ban on foreign ownership of Chinese companies alone feels like it justifies some reciprocal action. No US (or otherwise) company can operate in China, but the reverse is not true.

bogdan 2y ago

Exactly. It's unclear whether the primary goal of TikTok regulation is to genuinely safeguard young users or to prepare the public for further restrictions on other Chinese companies. Regardless, given China's advanced development beyond what many in the West perceive, I think it's important for western countries to start taking protective measures. TikTok is unimportant in the grand scheme of things.

aragonite 2y ago

> No US (or otherwise) company can operate in China Not true taken literally, obviously; not true if taken as saying "only JVs are allowed" either. According to the Department of Commerce (https://www.export.gov/apex/article2?id=China-Establishing-an-Office https://www.export.gov/apex/article2?id=China-Establishing-a...): > A large majority of new foreign investments in China are WFOEs [wholly foreign owned enterprises], rather than JVs. As Chinese legal entities, WFOEs experience greater independence than ROs, are allowed exclusive control over carrying out business activities while abiding by Chinese law and are granted intellectual and technological rights. Also (https://arc-group.com/china-company-setup/ https://arc-group.com/china-company-setup/): > WFOE refers to a limited liability company that is 100% invested, owned by foreign investors, and independently operated. Almost 60% of foreign-owned companies are WFOEs, making it the most adopted business type. Famous multinational companies such as Apple, Amazon, Oracle, and General Electric are all examples of WFOEs.

luyu_wu 2y ago

I've seen this point scattered throughout the thread, and it seems quite popular. I don't particularly take issue with it since market reciprocity obviously makes sense, but I'm not sure that this bill should tag itself as national security in that case! Small note: Many US companies do operate in China with large margins (Microsoft, Apple, Intel, AMD, NVidia, etc). There's been a Wikipedia article cited a through times throughout this thread with a complete list of blocked domains! Just a minor nitpick, thanks for the thoughts still.