TikTok allowed to stay in Canada with new legal conditions

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TikTok allowed to stay in Canada with new legal conditions

The Canadian government on March 9 formally concluded its national security review of TikTok Technology Canada, permitting the company to maintain its business operations in the country subject to new legally binding conditions. Industry Minister Mélanie Joly announced the decision, effectively ending a saga that began with a 2024 order to wind down the company’s Canadian offices.

The reversal allows TikTok to preserve its physical presence in Toronto and Vancouver. The company must now implement enhanced data protections and invest in Canadian culture, affecting more than 14 million monthly users in the country.

The new undertakings require TikTok to implement security gateways and privacy-enhancing technologies to control access to user information. The company must also strengthen safeguards for minors, consistent with findings from a joint investigation by Canada’s privacy commissioners. An independent third-party monitor will audit data access controls, mirroring a similar arrangement in the European Union.

Joly stated the decision followed “a thorough assessment of the information and evidence gathered during the review process, including advice from Canada’s security and intelligence community.”

The original November 2024 order, issued under former Prime Minister Justin Trudeau’s government, directed TikTok’s parent company ByteDance to dissolve its Canadian subsidiary. The order cited national security risks tied to Chinese intelligence laws but did not ban the app itself for Canadian users.

TikTok challenged the shutdown order in Federal Court. In January 2026, Judge Russel Zinn set the directive aside with consent from both parties and sent the matter back to Joly for a fresh review.

Prime Minister Mark Carney has pursued closer economic ties with China to offset the impact of U.S. tariffs on Canada. ByteDance separately restructured TikTok’s U.S. operations through a majority American-owned joint venture involving Oracle.

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