The US government may announce new restrictions to curb China’s access to advanced AI chips in the final days of President Joe Biden’s administration, according to sources familiar with the matter.
Reports suggest the rule, dubbed the “global AI diffusion rule,” aims to close loopholes in existing export controls by preventing Chinese companies from sourcing high-performance GPUs through third-party countries, according to a story by the South China Morning Post (SCMP).
While SCMP initially reported the rule’s release by December 2024, delays in expert reviews linked to US budgetary issues have pushed back its unveiling. However, insiders confirm that Biden plans to implement the measure before his term ends on January 20.
The proposed rule targets the global shipment of advanced chips critical for training AI models. This move builds on the Biden administration’s ongoing efforts to slow China’s advancements in semiconductor technology and limit the potential military applications of US-developed AI hardware.
Key provisions include:
- A country cap and a “black and white” list to regulate GPU shipments to specific destinations.
- A global licensing system with mandatory reporting requirements and select exceptions.
- Restrictions on global chip foundries using US technology to manufacture Chinese AI chip designs, particularly those with 7-nanometer or smaller nodes.
These measures aim to address concerns over Chinese firms circumventing export controls through intermediary nations or shell companies.
The move follows broader actions by the US government, including blacklisting 140 Chinese chip firms and launching Section 301 investigations into legacy chip production. The new rule reflects a continued focus on restricting China’s access to high-performance semiconductors like Nvidia’s A100 or Huawei’s comparable 910B, which feature advanced architectures crucial for AI development.
These latest restrictions will likely escalate tensions in the US-China tech rivalry while reinforcing Washington’s strategy to safeguard cutting-edge technology.
