Reported 8 months ago
The US government released a new proposed regulation on June 21, 2024, aimed at prohibiting or mandating disclosures for certain Chinese artificial intelligence (AI) and other technology investments that could pose a threat to US national security. This move is part of a broader US strategy to guard against China in the technology sector. The regulation stems from an executive order signed by President Biden last August, directing oversight of certain investments in areas like semiconductors, microelectronics, quantum computing, and AI to prevent US technology from bolstering China's global technological dominance. The Treasury Department unveiled the proposed regulation and a series of exceptions after the preliminary evaluation period, aiming to ensure US individuals and companies bear the responsibility of determining which transactions will be restricted or prohibited. The regulation will prohibit AI transactions involving certain end-uses and will require notification for the development of AI systems or semiconductor-related transactions not subject to prohibition. The US Treasury Department stated that the purpose of the new regulation is to implement a 'rigorous and targeted national security plan' focusing on certain foreign investments of interest in national security. These regulations cover not only the flow of funds but also the export of US technology and expertise. The Treasury Department is seeking public feedback on the proposed regulations until August 4 and plans to formally implement them by the end of the year. During this period, further discussions and determinations will be made on related exceptions, including transactions deemed to align with US national interests. This measure underscores the US's increasing vigilance against China in the technological competition, particularly in crucial areas like AI and semiconductors for future economic and national security protection. By employing strict regulations, the US aims to protect its technological advantage and prevent China from enhancing its own tech strength through US technological resources. With escalating global tech competition, these US government actions will undoubtedly have far-reaching implications on tech cooperation and investment between China and the US. In the coming months, the implementation details of these regulations and their impact on the international tech industry will be closely monitored.
Source: YAHOO