The argument is that China has a https://en.wikipedia.org/wiki/Golden_share in Bytedance; that despite only owning (on paper) 1% or whatever, they still have effective control over the whole company, if they so desire.

(I don't know if that's true, but it strikes me as plausible)

edit: you can make an analogy to e.g. Meta - Zuckerberg doesn't strictly own a majority, but he does have very strong control because of the particular corporate structure.