A new Bureau of Industry and Security rule released Jan. 13 will place new, worldwide export controls on advanced computing chips and certain closed artificial intelligence model weights, capping the number of AI chips that can be sent to most countries while introducing an exception for a group of allies that the Biden administration said already have strong AI technology protection rules. The 168-page interim final rule also creates new license exceptions for certain supply chain activities and low-volume shipments of powerful chips -- except for China, Russia and other U.S.-embargoed countries -- and updates the agency’s validated end-user program (VEU) to lift certain licensing requirements for certain data centers that meet stringent new security conditions.
The Biden administration’s upcoming AI chip-related export controls likely will upset key U.S. allies, especially the EU, by reinforcing the notion that the U.S. relies too heavily on extraterritorial controls and is “hellbent” on maintaining American technology leadership, the Center for European Policy Analysis said this week.
ASML, the major Dutch semiconductor tooling firm, is being accused of misleading investors about how its projected China sales and revenues were impacted by recently imposed export controls.
The State Department’s recently published fall 2024 regulatory agenda previews a range of export control rules the Directorate of Defense Trade Controls is hoping to issue this year, including one that would finalize an updated definition for defense services and others that would make various changes to the U.S. Munitions List.
The Bureau of Industry and Security has completed a round of interagency review for a new interim final rule that’s expected to place new export controls on advanced AI-related chips. The rule, “Export Control Framework for Artificial Intelligence Diffusion,” was sent for interagency review Dec. 9 and the review was completed Jan. 7. The upcoming restrictions have received criticism from at least one major technology company and two industry groups for being overbroad (see 2501060015 and 2501080034).
The Bureau of Industry and Security's upcoming export controls on advanced AI-related semiconductors will introduce expansive compliance hurdles and sales limitations that will hurt American firms and could push U.S. allies to work closer with China, a major technology think tank and a leading semiconductor industry group said this week.
The leaders of the House Select Committee on China said Jan. 6 that they support the Bureau of Industry and Security’s plans to place new export controls on advanced AI-related chips and believe the agency's upcoming interim final rule should include several specific measures to help keep sensitive technology out of China’s hands.
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The U.K. government is now recommending -- but not mandating -- that companies insert “no-Russia” clauses in their contracts, saying those clauses could help shield exporters and sellers against sanctions risks. It also published guidance about the specific steps companies can take to carry out export due diligence, which goods and countries face a higher risk of Russia-related sanctions-evasion, red flags to monitor, and more.
Rep. Chip Roy, R-Texas, reintroduced a bill Jan. 3 that would sanction International Criminal Court (ICC) officials for issuing arrest warrants for Israeli officials over the war in Gaza (see 2405090034).