On the 13th, the U.S. Department of Commerce rescinded the Biden administration's "AI Diffusion Rule" (hereinafter referred to as the AI Diffusion Rule) and strengthened export controls on AI chips, banning the global use of Huawei's Ascend chips. The U.S. Department of Commerce emphasized that these actions will ensure that the United States remains at the forefront of AI innovation and maintains its global AI leadership.
Jeffery Kessler, Under Secretary of Commerce for Industry and Security (BIS), has explicitly directed BIS enforcement officials not to enforce the AI Proliferation Rule.
Kessler said that the Trump administration will work with "trusted partner countries" around the world to build a bold and inclusive artificial intelligence technology strategy to prevent these technologies from falling into the hands of hostile countries while sharing the United States' AI technology with trusted foreign partners around the world.
In addition, the BIS announced strengthened export controls on AI chips, including that any use of Huawei Ascend chips anywhere in the world constitutes a violation of U.S. export control regulations. Furthermore, if U.S. AI chips are used to train or infer Chinese AI models, the companies involved will face serious consequences. The U.S. Department of Commerce also urged U.S. companies to re-examine their supply chain partners, strengthen their review mechanisms, and mitigate technology transfer risks.
The United States maintains the generational advantage of democratic countries over China in advanced technology
In an interview with RT-TV, Su Ziyun, director of the Institute of National Defense Strategy and Resources at the Taiwan National Defense Security Research Institute, stated that China's misuse of high technology for military purposes poses a threat to other countries. The US export ban effectively freezes China's AI chip development at the mature process level, thereby maintaining democratic nations' generational advantage over China in advanced technology. Secondly, China is currently accelerating its independent development of chips and lithography equipment, particularly EUV (Extreme Ultraviolet) technology. However, this field has high technical barriers and slow progress, and the risks are still manageable. Furthermore, TSMC has already advanced to angstrom-level processes (below 1 nanometer), further widening the gap between the two countries. Maintaining this generational gap is crucial for risk management.
"Overall, while the US is negotiating with China on tariffs, it is adopting a 'de-risking' strategy in the high-tech sector," he said.
High-end chips are inseparable from national security
Lin Xiumin, a part-time lecturer in the Department of Business Administration at Soochow University, told CNN that the US-China trade war began at the beginning of President Trump's first term. Despite a trade agreement, the US has continued to impose export controls on Chinese companies like ZTE, Fujian Jinhua, and Huawei. This shows that trade and national security issues have long been decoupled. Meanwhile, the US's next-generation F-47 sixth-generation fighter jet has successfully completed its test flight and entered the tactical evaluation phase. Its core functions, including guiding drones in combat, rely heavily on chip technology, demonstrating the inextricable connection between advanced technology and national defense.
Lin Xiumin said, "Against this backdrop, even if the United States completely removes tariffs on Chinese products, the export ban on Huawei and Chinese semiconductors will not be relaxed and may even be further tightened."
Agence France-Presse pointed out that in the past few years, the United States has continuously tightened restrictions on the export of advanced chips to China, fearing that these chips may be used to strengthen China's military systems and further threaten the United States' dominance in the field of AI.
The chip export control regulations proposed by the Biden administration will divide the world into three levels: first-tier countries such as Japan and South Korea will not be subject to export restrictions; second-tier countries such as Mexico and Portugal will be subject to chip quantity quotas; third-tier countries including China, Russia, Iran and North Korea will be completely banned from obtaining chips.
Lin Xiumin: The India-Pakistan conflict demonstrated the future of warfare through chips
Lin Xiumin further analyzed that the recent military conflict between India and Pakistan demonstrates to the world what "chips are the future of warfare." Reports indicate that both sides deployed a total of 125 fighter jets, but did not cross each other's airspace. This demonstrates that the nature of warfare has shifted to high-tech, long-range precision strikes, allowing fighters to launch attacks without having to penetrate deep into enemy territory. Essentially, the competition is about radar detection, guided missile accuracy, and jamming capabilities, all of which depend on the performance of the underlying chips. Chip technology has a critical impact on battlefield perception. Modern warfare relies on high-end chip-powered drones, guided missiles, and satellite communication systems. Who can obtain faster and more accurate battlefield information?
"Victory on the battlefield is no longer determined solely by firepower, but by technological capabilities, or in other words, computing power. In this landscape, chips have become a strategic resource for national security. Not only the United States, but countries around the world cannot underestimate the national security threat posed by chips," said Lin Xiumin.
US eases restrictions on Nvidia chip sales to Saudi Arabia
The U.S. Department of Commerce stated in a statement that the new AI Proliferation Rule will severely stifle U.S. innovation and impose a heavy regulatory burden on businesses. Furthermore, the rule will damage U.S. diplomatic relations with dozens of countries by downgrading them to "Tier 2" export categories.
Recently, during US President Trump's visit to the Middle East, including Saudi Arabia, the Saudi sovereign wealth fund PIF announced the establishment of a new subsidiary, Humain, which will establish strategic partnerships with major US technology companies such as Nvidia. Nvidia CEO Jensen Huang announced that Humain will be supplied with over 18,000 of its latest AI chips.
Su Ziyun analyzed that the United States lifted the seal on Saudi Arabia and allowed Nvidia to export AI chips to Saudi Arabia for three purposes. First, it was to make up for the loss of market share caused by Nvidia's inability to export to China; second, it supported Saudi Arabia and other Middle Eastern countries in building AI centers and strengthening the diplomatic and cooperative relations between the United States and the Middle East; third, it was a potential punishment. If any country was found to re-export AI chips to China, the supply might be immediately cut off, which was also a means of risk control.
