US announces new restrictions on AI chip exports

Washington (AFP) Jan 13, 2025 The United States unveiled new export rules Monday on chips used for artificial intelligence, furthering efforts to make it tough for China and other rivals to access the advanced technology in Joe Biden's final days as presid…
Lolita Steuber · 17 days ago · 2 minutes read


US Tightens Grip on AI Chip Exports

Restricting China and Beyond

Days before stepping down, President Biden unveiled strict new export controls on cutting-edge chips used in artificial intelligence (AI). This move deepens the ongoing effort to limit China's access to these technologies, considered vital for military and technological advancements.

"We lead the world in AI, and it's critical that we keep it that way," declared Commerce Secretary Gina Raimondo.

Security Concerns and Exceptions

The new regulations require authorization for chip exports, re-exports, and in-country transfers. Countries considered friendly to the US may receive exemptions, but most others will face restrictions on importing advanced chips. AI data centers will also be subject to heightened security measures.

Industry Backlash and EU Concerns

The move has sparked criticism from the US chip industry, with John Neuffer of the Semiconductor Industry Association calling it a "deeply disappointing" policy change. The European Union expressed concerns, emphasizing that Europe poses no security risk.

Trump Factor and Potential Impact

While the rules will come into effect in 120 days, the incoming Trump administration has the power to alter or roll them back. A senior US official warned of the risk of China stockpiling American hardware if the regulations are not enforced.

Balancing Innovation and Security

The restrictions aim to enhance US security and curb China's technological advancements. However, experts like Daniel Castro of the Information Technology and Innovation Foundation caution that they could alienate partners and strengthen China's position in the global AI landscape.

Industry Pushback

"These rules would do nothing to enhance US security," stated chip giant Nvidia in a blog post. They argue that innovation and collaboration, not government restrictions, drive US competitiveness.

The rules may have a significant impact on Silicon Valley backers of Trump, who previously imposed tariffs on China but also supported free trade and innovation.