Another front of confrontation between the US and China’s interests is open. The Trump administration is said to say that Chinese payment apps, including WeChat Pay, are a threat to national security. In executive order, all transactions in the US with these applications must cease activity within 45 days.
After TikTok, now it is the turn of applications from companies in China that allow financial transactions on smartphones.
Trump continues to want to ban Chinese services like WeChat Pay
President Trump issued an executive order to ban transactions in the United States with a variety of Chinese payment platform applications from February 18, 2021. The order says that this “aggressive action” must be taken because apps have access to the data of a large number of users.
[O] pace and diffusion in the United States of certain mobile and desktop applications, and other software developed or controlled by people in the People’s Republic of China, including Hong Kong and Macau (China), continue to threaten national security, foreign policy and security. United States economy.
At this time, steps must be taken to address the threat posed by these software applications linked to China
Refers to the Executive Order.
The most prominent targeted apps are WeChat Pay and Alipay. The order also lists other lesser-known payment services, such as QQ Wallet, Tencent QQ, CamScanner, SHAREit, VMate and WPS Office.
American companies have 45 days from the date of the order to fulfill. However, the precise details of what types of transactions should be prohibited have not yet been announced.
The following actions will be prohibited from 45 days after the date of this request, up to the limit permitted by applicable law. [Qualquer] transaction by any person, or with respect to any property, subject to the jurisdiction of the United States, with persons who develop or control the following linked software applications in China, or with its subsidiaries.
Refers to the order.
The United States Department of Commerce must clarify the details and, according to Reuters, plans to do so before January 20.
Joe Biden takes office January 20
The date of January 20 is not by chance. As has already been announced, President-elect Joe Biden will take over on January 20. Although the new administration has not commented on this particular executive order, it recently said it could interrupt or delay regulations that are not expected to take effect until the day of the inauguration.
The Executive Order follows previous attempts by the Trump administration to ban the use of Chinese social media applications, such as WeChat and, in particular, TikTok. The TikTok service is not named in this new order and previous deadlines for banning this network have been delayed.