U.S. Treasury Proposes Rule to Curb AI Investment in China

The U.S. Treasury Department has proposed a rule to restrict American investments in China's AI, computer chips, and quantum computing sectors. This follows President Biden's executive order aimed at limiting countries like China from accessing American funds for advanced technologies that could enhance their military capabilities.

The Treasury Department on Friday detailed a proposed rule aimed at restricting and monitoring U.S. investments in China's artificial intelligence, computer chips, and quantum computing sectors.

This rule stems from President Joe Biden's August 2023 executive order, designed to limit access to American dollars by 'countries of concern,' which the U.S. government says could bolster their military and intelligence capabilities. Identified among these countries are China, Hong Kong, and Macau.

The Biden administration's efforts seek to curtail China's technological advancements, particularly those that could provide military advantages or market dominance in emerging sectors. This includes new regulations and stiff tariffs on Chinese electric vehicles—a measure with significant political implications as both Biden and his rival, Donald Trump, aim to show their resolve against China, a major trading partner and geopolitical adversary.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)