Just weeks after showing progress in easing their ongoing trade conflict, the U.S. and China are once again at odds, this time over semiconductor technologies.
The tensions resurfaced following a statement from China’s Commerce Ministry issued on Wednesday threatening legal action against any party complying with U.S. restrictions on Huawei’s artificial intelligence chips. The announcement was a direct reaction to guidelines released by the Trump administration on May 13, which underscored that using Huawei’s Ascend AI chips anywhere globally would constitute a violation of American export controls. These guidelines coincided with the administration’s revocation of former President Biden’s Artificial Intelligence Diffusion rule.
In response to China’s objections, the U.S. Commerce Department has since amended the wording of its guidelines, notably removing the contentious phrase “anywhere in the world.”
Earlier this week, Beijing accused Washington of undermining recent economic negotiations meant to alleviate trade tensions, asserting the Trump administration’s latest measures against Huawei negatively impact diplomatic efforts made during recent bilateral talks.