And it's even more implausible to think China would allow this as a result of a US law aimed at limiting China's power.
"Ban" is completely appropriate shorthand for "ban (unless something highly improbable occurs)."
We can say that Google and Facebook are "banned" or "censored" in China even though China would surely be happy to unban them if they sold their operations in China to a Chinese business. So it is consistent and fair to say that this bill "bans" or "censors" TikTok.