TikTok challenges Canada’s "outdated" ban, urges further talks

The head of TikTok, Shou Chew, has sent Industry Minister Melanie Joly a formal request for an in‑person discussion to address the federal mandate requiring TikTok to cease its operations in Canada.

In a July 2 letter obtained by The Canadian Press, Chew asked to meet within two weeks, pointing out the order dates back to when a U.S. ban on the app seemed likely. He pointed out the directive followed a national security review conducted under the Investment Canada Act, which lets Ottawa examine any foreign investment that might threaten national security.

“There is no upside to this outdated and counterproductive government order, which was issued under a different government and in a different era, and which doesn’t reflect today’s reality,” Chew wrote.

When François‑Philippe Champagne was industry minister, he said the government acted to address “specific national security risks,” though he did not spell out what those risks were. Critics have pointed to Chinese laws that can force companies like ByteDance Ltd. to assist in intelligence gathering as the core concern.

Tiktok challenges national security grounds

Chew argued no evidence has ever been shown that TikTok poses a security threat to Canada, and he said officials have been unwilling to discuss possible fixes. He suggested steps such as stronger data‑security protocols, plus more transparency and outside oversight, could ease Ottawa’s worries.

Last November, following a national security review of its parent company ByteDance Ltd., Ottawa ordered the Canadian subsidiary to be dismantled. Despite that, the app remains available to its 14 million Canadian users, but would no longer have any presence or representatives within Canada’s jurisdiction.

Chew cautioned that enforcing the requirement would isolate Canada from its international partners, particularly those in the Five Eyes intelligence coalition, none of which have taken comparable measures.

He added the decision appears rooted in “assumptions about TikTok’s future in the United States which no longer hold true.”

The federal review began in late 2023 but remained confidential until March 2024, shortly after the U.S. House of Representatives approved legislation targeting TikTok unless ByteDance divested.

In June, President Donald Trump again extended the U.S. deadline for banning the app for a third time.

TikTok warns of major layoffs and investment cuts

Chew warned that failure to intervene would force TikTok to lay off over 350 staff in Canada, halt direct investments here and scale back support for domestic creators and cultural initiatives. “The wind‑up process is rapidly approaching a critical juncture,” he wrote.

He highlighted that TikTok’s Canadian staff have appeared before parliamentary committees, worked with regulators, trained law enforcement on lawful‑access requests and assisted Elections Canada during last year’s federal vote. “TikTok maintaining a presence in Canada means there is a local team who is accountable to Canadian policy‑makers and authorities,” he wrote.

On July 7, the company said it would stop sponsoring major Canadian arts events like the Juno Awards and TIFF.A spokeswoman for the minister declined to comment on whether Joly has responded or intends to meet Chew.

Separately, TikTok has filed a challenge in Federal Court against the shutdown directive, contending that Ottawa’s actions “bear no rational connection to the national security risks it identifies.”

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