The CEO of TikTok, Shou Chew, has reached out to Canadian Industry Minister Mélanie Joly, requesting an urgent meeting regarding the federal government’s order for the company to shut down its Canadian operations. Chew's letter, dated July 2, emphasizes the need for an in-person meeting within two weeks, citing that the order was based on outdated circumstances when a ban on TikTok in the United States appeared imminent.
In the letter, Chew stated that the directive issued in November 2023, which called for the dissolution of TikTok's Canadian business following a national security review of ByteDance Ltd., the Chinese parent company, no longer aligns with the current realities. He remarked that continuing with this order would position Canada as an outlier among its allies, particularly those in the Five Eyes intelligence-sharing alliance, which includes countries like the United States, the United Kingdom, Australia, and New Zealand.
Chew pointed out that the initial assumptions that prompted the order regarding TikTok's operations in the U.S. have since changed. In June, U.S. President Donald Trump extended the deadline to ban TikTok for the third time, indicating shifts in the political landscape concerning the app’s future. Meanwhile, Chew has warned that without Joly’s intervention, TikTok will be forced to lay off over 350 employees in Canada, cease direct investments, and diminish support for Canadian creators and cultural events.
As part of its winding-down process, TikTok announced on July 7 that it would withdraw its sponsorship from several Canadian arts institutions, including the Juno Awards and the Toronto International Film Festival. A spokesperson for Joly has yet to clarify if the minister has responded to Chew's letter or if a meeting is scheduled.
In addition to seeking a meeting with Minister Joly, TikTok is also actively challenging the shutdown order in Federal Court. The company launched a legal case in December 2023, arguing that the government’s decisions lack a rational connection to the national security threats identified by officials. The national security review conducted by Ottawa was through the Investment Canada Act, allowing the government to scrutinize foreign investments that may pose risks to national safety; however, the specific risks were not detailed by former Industry Minister François-Philippe Champagne.
Concerns surrounding TikTok and ByteDance stem from Chinese national security laws. These laws can mandate Chinese firms to assist in national intelligence gathering, heightening apprehensions in Western nations. Nonetheless, Chew asserts that no evidence has been presented indicating that TikTok constitutes a security threat to Canada. He argues that the government has not been open to discussions regarding potential solutions for their concerns.
Chew proposed that potential national security issues could be addressed through enhanced data security protocols and greater transparency. He emphasized that while the shutdown order would still allow Canadians to access TikTok, the absence of a local presence would diminish the company’s accountability to Canadian policymakers and authorities. Currently, TikTok’s Canadian employees have actively engaged in parliamentary processes, assisted law enforcement with lawful access training, and collaborated with Elections Canada during federal elections.
In conclusion, Chew argues that maintaining a robust presence in Canada is crucial for sustaining oversight and responsibility in the company’s operations within the country, stressing the importance of local accountability.
