Everyone's consumer goods are made in China, so why would they care that their social media site is made there? We get our phones, computers, peripherals, cameras, the entire stack of hardware from there, why would end users draw the line at software? End users know, but unfortunately don't care about telemetry.
If TikTok actually declines or dies, it's not going to be because of where the software is made.
That's really not the point I'm making at all. You're talking about hardware, which is a whole other conversation about quality. I'm talking about software, data collection, "listening," etc.
We all live with some uncomfortable amount of dissonance on who's collecting our data. I personally take great issue with just opening the door to my life to China by installing TikTok. I don't have other social media (not interested in a semantics debate about what constitutes social media, my purpose in saying this is that I try to avoid data-hoovers in general), but I'm not perfect at avoiding unwanted data collection. I just don't see a need to make it so easy.
The physical objects manufactured in China aren't at risk of subliminally or overtly manipulating your media consumption for propaganda purposes though.
A social media algorithm is a much scarier thing than an inert object, and one controlled by a totalitarian enemy government even moreso.
If TikTok actually declines or dies, it's not going to be because of where the software is made.