Jeffrey Kessler, President Donald Trump’s choice to lead the Bureau of Industry and Security (see 2502040059), said at his Senate nomination hearing Feb. 27 that he has reservations about the agency’s latest export controls on advanced artificial intelligence chips and wants to scrutinize them. He also testified that he plans to examine whether BIS needs more resources and a reorganization.
The U.S. has so far declined to tell the EU how it chose the 18 countries that will benefit from mostly unrestricted access to advanced artificial intelligence chips under the Bureau of Industry and Security’s AI diffusion rule, the European Commission’s chief trade enforcement officer said this week, making it “very difficult” for EU officials to negotiate lifting the restrictions.
EU lawmakers and the European Commission offered a strong rebuke this week of the U.S.’s latest export controls on advanced artificial intelligence chips, saying the restrictions could slow European AI technology innovation and set unfair buying restrictions across member states.
The first few weeks of the new Trump administration have shown that there appears to be a “fair amount of continuity” from the Biden administration on certain China trade policies, including around export controls and outbound investment restrictions, a former Biden National Security Council official said.
The Senate Commerce Committee voted, 16-12, Feb. 5 to advance President Donald Trump’s choice of Howard Lutnick to be commerce secretary, sending the nomination to the full Senate for its consideration. The vote came days after Lutnick promised to scrutinize U.S. export controls on advanced artificial intelligence chips, telling lawmakers in recently published comments that a review of the restrictions will be “a top priority” if he’s confirmed.
U.S. export controls are increasingly trending toward unilateral, extraterritorial restrictions as opposed to multilateral ones, and that could continue under the administration of President Donald Trump, said Jeannette Chu, vice president for national security policy at the National Foreign Trade Council.
Senate Banking Committee ranking member Elizabeth Warren, D-Mass., and Sen. Josh Hawley, R-Mo., urged the Commerce Department Feb. 3 to strengthen export controls following the recent “breakthrough development” of an advanced artificial intelligence model by Chinese startup DeepSeek.
The EU is “concerned” about the Bureau of Industry and Security's new export controls on advanced AI chips (see 2501130026), which will impose new restrictions on certain EU member states and their companies, the bloc’s top two technology and trade officials said in a joint statement this week.
China criticized new U.S. export controls over certain advanced AI chips released this week (see 2501130026) and announced its own set of export restrictions on American firms the next day, adding seven defense contractors to its so-called unreliable entity list.
Many signs are pointing toward the incoming Trump administration embracing the new sweeping U.S. export controls on AI chips, an AI technology policy researcher said this week.