Reuters reported on the 12th (local time) that the US government is considering new regulations that block Chinese companies from accessing advanced technologies such as U.S. artificial intelligence (AI) through overseas subsidiaries.
Citing four familiar sources, the media said, “The U.S. government believes that there is a loophole that does not prevent Chinese overseas subsidiaries from accessing US semiconductors only by restricting exports of AI semiconductor chips and manufacturing equipment announced last year.” The new regulations will be announced within this month, the media added.
Earlier, as U.S. President Joe Biden seeks a summit with Chinese President Xi Jinping next month, observers say the U.S. could announce new measures to mark the first anniversary of the introduction of semiconductor export regulations to China. Reuters pointed out that if the new regulations, which focus on China’s overseas branch regulations, are actually introduced, many companies in the industry could be more broadly subject to U.S. export regulations.
The U.S. government is also looking for ways to block Chinese companies from accessing U.S.-based cloud companies such as Amazon Web Services, which provides AI-related services. The U.S. is particularly concerned about China’s development of unmanned combat systems with AI technology, according to a report by the International Affairs Review under George Washington University’s Graduate School of International Studies.
Currently, it is prohibited to buy AI chips from overseas and ship them to mainland China, but it is pointed out that it is almost impossible for the U.S. to crack down on all such transactions. In June, Reuters reported that U.S. semiconductors, which the U.S. banned from exporting, were easily available at an electronic shopping complex in Sunghyang Bay, Shenzhen, China.
Reuters pointed out, “The new regulations show how hard the Biden government is struggling to block China’s AI technology and how difficult it is to fill the hole in export control.”
