I'm aware of this. I think the proper way to deal with this is with our own laws regarding data usage. Not with ad-hoc policy made for a single case. The issue is bigger than TikTok and handling it in this way not only makes it into a significant issue of geo-political maneuvering and economic policy, it doesn't actually solve the fundamental problem.
If we don't want consumer corporations owned through other countries sharing our data with their government's intelligence agencies, we need laws, not a shoot-from-the-hip approach that deals only with the high-profile panic of the moment example.
We're a "rule of law" nation. Absent extreme circumstances it should be laws that deal with actions we decide are improper. Otherwise we're no longer a nation of laws, we're a nation with a series of individuals who seek to enforce their will rather than the law.