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The bill doesn’t target the CCP, it targets a US subsidiary of a Singapore-based multinational.
A rule that applies exclusively to the US subsidiary of TikTok.
It would be akin to passing a law that says @finitebanjo must have all of his possessions seized in the next nine months, because he took money from the Canadian government. Canada isn’t the target of the legislation and the scope of the legislation isn’t universal - it’s only assigning a punishment to a single domestic resident - and entirely on the grounds that the current chief executive doesn’t like Justin Trudeau.
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Except, again, the business being penalized is the American subsidiary.
The context is that the commercial assets and employees being threatened by the US government are all within US territory.