Editor's note: Pan Deng is a current affairs commentator. The article reflects the author's opinions and not necessarily those of CGTN.

A pivotal phone call on Friday between Chinese President Xi Jinping and his American counterpart, Donald Trump, has momentarily cleared the air of acrimony that has long clouded relations between the world's two largest economies. While the immediate catalyst for the call was the high-stakes negotiation over the future of the social media platform TikTok in the U.S., the conversation's substance and tone signaled a potential off-ramp from the perilous path of unilateral confrontation.

At its core, the dialogue was a reaffirmation of first principles: Durable solutions to complex bilateral challenges can only be forged through mutual respect, adherence to market rules and recognition of each other's legitimate national interests.

The discussion, as detailed in the official press release, was not merely about a single company but about the fundamental architecture of global commerce and technological governance in the 21st century.

President Xi's emphasis on the "spirit of equality, respect and mutual benefit" was a call to return to a more predictable and constructive mode of engagement. The pressing question now is whether this moment of clarity can be translated into a sustainable framework for cooperation, moving beyond transactional resolutions to address the systemic challenges, from data governance to the digital divide, that define our era. The stakes extend far beyond the fortunes of one app, touching upon the livelihoods of millions and the very stability of the international order.

Sovereignty in the digital age: A nation's rightful remit

At the heart of the TikTok saga is a principle that is both universal and foundational to the post-World War II world order: the sovereign right and responsibility of a state to protect the legitimate interests of its enterprises.

President Xi's firm stance, as conveyed in the call, should be understood as a rational conduct of any major power. When a China-based entity like ByteDance, TikTok's parent company, becomes the subject of intense geopolitical pressure, it is incumbent upon the Chinese government to ensure its rights are not trampled in a rush to judgment fueled by amorphous national security concerns.

Beijing's position is reinforced by its own legal and regulatory evolution. The adjustments made to China's technology export control list, a move initiated when the TikTok issue first flared during President Trump's first term, are a clear exercise of national sovereignty. This legislation ensures that the disposition of critical technologies developed within China is subject to a deliberative state process, preventing forced sales that could compromise national economic and technological security.

As Xi cautioned, the U.S. should "avoid taking unilateral trade restrictions" that could undermine progress. This is not an extraordinary demand; it is a call for Washington to abide by the same norms of statecraft it expects from others. Any responsible government would act similarly to safeguard its corporate champions and technological crown jewels from arbitrary external coercion.

Joint progress through equal-footing cooperation

The modern multinational enterprise is, by its nature, a hybrid entity: simultaneously global in its reach and local in its operations. This phenomenon of "glocalization" is the engine of 21st-century commerce.

For a platform like TikTok, its success is predicated on this very duality: Its technological architecture may have global origins, but its content, its creators, and its cultural resonance are intensely local, woven deeply into the American socio-economic fabric. It is no longer just an app; it is a marketplace, a cultural common and a source of livelihood for millions of American users. Recognizing this reality is the first step toward a sound solution.

President Xi articulated this principle with clarity, stating that China "is glad to see business negotiations in line with market rules and a solution that conforms to Chinese laws and regulations and takes into account the interests of both sides." This is a formula for a win-win outcome. It respects the imperative for localization while rejecting unilateral bullying that sees another nation's commercial success as a threat to be neutralized rather than an opportunity for partnership.

The grab-and-take approach, cloaked in the rhetoric of overstretched national security claims, is fundamentally protectionist and corrodes a country's reputation as a safe harbor for global capital. If the U.S. wishes to maintain its status as a beacon for investment, it must demonstrate its commitment to being a level-playing, rules-based actor.

Encouragingly, Trump's remarks appeared to echo this sentiment, expressing a hope "to promote bilateral economic and trade cooperation, and keep supporting consultations between teams from both sides to properly resolve the TikTok issue." This alignment provides a crucial opening.

ByteDance's subsequent statement on September 20, pledging to "proceed with relevant work in accordance with Chinese legal requirements," correctly sequences the process: The company, while negotiating a commercial solution, remains bound by the laws of its home country. This is not defiance; it is due process, a concept central to the rule of law the U.S. professes to champion.

Global efforts on data and tech governance urgently needed

The tensions surrounding TikTok are a symptom of a much larger global challenge: the governance gap in new frontiers of human activity. As fast-advancing digital technologies erode traditional concepts of borders and jurisdiction, the existing frameworks for global governance are proving inadequate.

Data, the lifeblood of the new economy, flows globally, yet its governance remains fiercely contested and fragmented. This is precisely the challenge China's Global Governance Initiative (GGI) seeks to address. The GGI's concept paper identifies artificial intelligence and cyberspace as "new frontiers" where governance vacuums risk being filled by unilateralism and protectionism, exacerbating the digital divide.

The countries of the Global South are no longer passive spectators in this debate. They are shaping alternative frameworks grounded in principles of equity and shared development. The recent BRICS Summit produced a landmark "Data Economy Governance Understanding," aiming to balance cross-border data flows with the preservation of national data sovereignty. The Shanghai Cooperation Organization Summit 2025, in its Tianjin Declaration, has championed the principle of cyber sovereignty and the central role of the United Nations in crafting global norms. Similarly, the Association of Southeast Asian Nations is advancing its Digital Economy Framework Agreement, building a regional architecture for data governance that is both open and secure.

These initiatives demonstrate a growing consensus among emerging economies that the rules of the digital road cannot be dictated by a single power bloc. They are a collective pushback against digital protectionism and a constructive effort to build a more inclusive, multilateral governance regime.

To sum up, 80 years ago, China and the U.S. stood as allies in a global struggle against a common existential threat. That shared history, which Xi alluded to in his call with Trump, serves as a powerful reminder of their capacity for joint action in the face of monumental challenges. Today, the threats are different, including climate change and the ungoverned expansion of technology, but the imperative for cooperation remains the same.

The September 19 phone call has presented an opportunity to pivot from a zero-sum contest to a collaborative partnership. By resolving the TikTok issue in a manner that respects market principles and national sovereignty, Beijing and Washington can set a powerful precedent.

It is time for the world's two leading powers to look ahead and demonstrate that they can join hands not only in facing common enemies, but also in the far more difficult and noble task of creating common prosperity for all humanity.

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