{"id":5550,"date":"2025-05-17T07:49:15","date_gmt":"2025-05-16T23:49:15","guid":{"rendered":"https:\/\/cicserver.com\/trump-to-rescind-global-chip-curbs-prep-new-ai-restrictions\/"},"modified":"2025-05-17T07:49:15","modified_gmt":"2025-05-16T23:49:15","slug":"trump-to-rescind-global-chip-curbs-prep-new-ai-restrictions","status":"publish","type":"post","link":"https:\/\/cicserver.com\/de\/trump-to-rescind-global-chip-curbs-prep-new-ai-restrictions\/","title":{"rendered":"Trump to Rescind Global Chip Curbs, Prep New AI Restrictions"},"content":{"rendered":"<p><br \/>\n<\/p>\n<div data-module=\"content\">\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">(Bloomberg) &#8212; The Trump administration plans to rescind some Biden-era AI chip curbs as part of a broader effort to revise global semiconductor trade restrictions that have drawn strong opposition from major tech companies and foreign governments.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The repeal of the so-called AI diffusion rule, which is not yet final, seeks to refashion a policy launched under President Joe Biden that created three broad tiers of countries for regulating the export of chips from Nvidia Corporation and others. The Trump administration will not enforce that framework when it takes effect on May 15, according to people familiar with the matter, and is instead drafting its own version of the rules that\u2019s likely to focus on direct negotiations with nations like the United Arab Emirates or Saudi Arabia.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The policy debate, which remains ongoing, centers on the question of how to regulate semiconductor shipments to places outside of China. Both Trump and Biden officials have sought to crack down on Beijing\u2019s semiconductor ambitions, over concerns that advanced chip and AI technology could lend China a military edge.\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Scrapping the AI diffusion framework won\u2019t change the measures targeting China, which Trump\u00a0recently toughened. Rather, it would provide fresh opportunities for other countries to negotiate their own chip access, as governments around the world seek to develop domestic AI capabilities. Those deals could be influenced by investment promises or broader trade and diplomatic considerations.<\/span><\/p>\n<p data-component=\"related-article\" class=\"RelatedArticle\"><span data-testid=\"related-article-title\" class=\"RelatedArticle-Title\">Related:<\/span><a class=\"RelatedArticle-RelatedContent\" href=\"https:\/\/www.datacenterknowledge.com\/supply-chain\/trump-tariff-turmoil-seeds-uncertainty-in-global-data-center-market\" target=\"_self\" data-discover=\"true\">Trump Tariff Turmoil Seeds Uncertainty in Global Data Center Market<\/a><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">US officials could announce their intent to repeal the AI diffusion rule as soon as Thursday, one of the people said \u2013 ahead of President Donald Trump\u2019s trip to the Middle East, where a number of nations have bristled at the latest restrictions. Trump\u2019s replacement regulations, which the people said will aim to strengthen controls on chips abroad, are still taking shape.\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cThe Biden AI rule is overly complex, overly bureaucratic, and would stymie American innovation,\u201d the Commerce Department\u2019s Bureau of Industry and Security said in a statement released by a spokesperson. \u201cWe will be replacing it with a much simpler rule that unleashes American innovation and ensures American AI dominance.\u201d \u00a0 \u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The US first imposed sweeping restrictions on advanced chip sales to China in 2022 and has ratcheted up those measures several times to encompass a broader swath of semiconductors and a growing list of countries. That included a 2023 expansion to more than 40 nations, including much of the Gulf and parts of Southeast Asia, where Biden officials suspected China could access banned technology via intermediaries. The AI diffusion rule, unveiled during Biden\u2019s final week in office, expanded those licensing requirements to most of the world.\u00a0<\/span><\/p>\n<p data-component=\"related-article\" class=\"RelatedArticle\"><span data-testid=\"related-article-title\" class=\"RelatedArticle-Title\">Related:<\/span><a class=\"RelatedArticle-RelatedContent\" href=\"https:\/\/www.datacenterknowledge.com\/data-center-construction\/new-data-center-developments-may-2025\" target=\"_self\" data-discover=\"true\">New Data Center Developments: May 2025<\/a><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The framework was designed to further crack down on China\u2019s ability to access US chips via third countries, and to bring more nations into the US orbit by setting security requirements to access best-in-class American technology. The rule included caps on total shipments to places like the UAE and Saudi Arabia, which already had to obtain US government approval for advanced chip imports under the 2023 regulations. It also imposed chip controls for the first time on dozens of countries, including India, Malaysia, and Poland.\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">While Trump\u2019s plan to not enforce the AI diffusion rule provides a temporary reprieve for those nations, some controls are likely still coming.\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Trump officials intend to impose curbs on countries that have diverted chips to China, including Malaysia and Thailand, one of the people said. In the meantime, the Commerce Department will continue to strictly enforce existing chip export rules, according to the people, who asked not to be identified because the plans are not yet public.\u00a0<\/span><\/p>\n<p data-component=\"related-article\" class=\"RelatedArticle\"><span data-testid=\"related-article-title\" class=\"RelatedArticle-Title\">Related:<\/span><a class=\"RelatedArticle-RelatedContent\" href=\"https:\/\/www.datacenterknowledge.com\/sustainability\/beyond-efficiency-redefining-data-center-sustainability-for-the-ai-era\" target=\"_self\" data-discover=\"true\">Beyond Efficiency: Redefining Data Center Sustainability for the AI Era<\/a><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">A Thai government spokesperson said it\u2019s awaiting details on the policy. A representative for Malaysia\u2019s Ministry of Investment, Trade and Industry noted the US decision and said clear and consistent policies were essential for the tech sector.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Nvidia, the leading maker of chips for training AI models, has objected to the growing number of US restrictions. The company has consistently derided the AI diffusion rule and pushed for its wholesale repeal, arguing that restrictions on third countries will only push them closer to China. Chief Executive Officer Jensen Huang also said this week that US companies\u00a0should be able to sell\u00a0into China, which he predicts will become a $50 billion market for AI chips in the next couple years.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Still, the Trump administration has stepped up restrictions targeting Beijing\u2019s tech ambitions. It already banned Nvidia from selling its H20 chip in China, a move that cost the company\u00a0$5.5 billion\u00a0in writedowns.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">\u201cWe welcome the Administration\u2019s leadership and new direction on AI policy,\u201d the company said in an emailed statement. \u201cWith the AI Diffusion Rule revoked, America will have a once-in-a-generation opportunity to lead the next industrial revolution and create high-paying US jobs, build new US-supplied infrastructure, and alleviate the trade deficit.\u201d\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">Much will hinge on the terms of bilateral chip accords that Trump officials could negotiate over the coming months. Reaching such agreements could prove a monumental task, and could result in dozens of separate policies by which companies must abide.<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">In the immediate term, though, the reprieve could be a boon to companies like Oracle Corp., which is planning a massive data center expansion in Malaysia that was set to blow past AI diffusion rule limits.\u00a0<\/span><\/p>\n<p class=\"ContentParagraph ContentParagraph_align_left\" data-testid=\"content-paragraph\"><span class=\"ContentText ContentText_variant_bodyNormal\" data-testid=\"content-text\">The Trump administration\u2019s move also would be welcome news for countries that were covered by earlier rounds of US restrictions, like the UAE and Saudi Arabia, but see fresh opportunities to negotiate better terms with the new team in Washington.<\/span><\/p>\n<\/div>\n<p><script defer=\"\" async=\"\" src=\"https:\/\/connect.facebook.net\/en_US\/sdk.js#xfbml=1&amp;version=v18.0\" data-ot-ignore=\"true\"><\/script><br \/>\n<br \/><\/p>","protected":false},"excerpt":{"rendered":"<p>(Bloomberg) &#8212; The Trump administration plans to rescind some Biden-era AI chip curbs as part of a broader effort to revise global semiconductor trade restrictions that have drawn strong opposition from major tech companies and foreign governments. The repeal of the so-called AI diffusion rule, which is not yet final, seeks to refashion a policy [&hellip;]<\/p>","protected":false},"author":3,"featured_media":5551,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_seopress_robots_primary_cat":"","_seopress_titles_title":"","_seopress_titles_desc":"","_seopress_robots_index":"","footnotes":""},"categories":[1],"tags":[],"class_list":{"0":"post-5550","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-blog"},"_links":{"self":[{"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/posts\/5550","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/comments?post=5550"}],"version-history":[{"count":0,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/posts\/5550\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/media\/5551"}],"wp:attachment":[{"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/media?parent=5550"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/categories?post=5550"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/cicserver.com\/de\/wp-json\/wp\/v2\/tags?post=5550"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}