China's new export curbs draw a line around its AI crown jewels
SMH•China's proposed rules would add 23 AI-related technologies to its export-control list, broadly allow overseas access through websites and cloud platforms, and require government approval for some transfers or overseas deployments. China is expected to adopt the proposals by year-end.
1. Proposed export controls
China's draft rules distinguish between foreign customers accessing Chinese AI services and companies obtaining the models, data or expertise to operate or reproduce them independently. The proposals would broadly allow access through websites and cloud platforms while subjecting some transfers of underlying technology and overseas deployments to government approval. A temporary registration requirement for certain transfers took effect on October 16.
2. Scope and implementation
The draft would add 23 AI-related technologies to a list banning or restricting exports, including advanced models, AI agents and technology used to design chips and run large computing facilities. Models could be covered if training requires at least 10 to the power of 26 calculations, they have at least 2 trillion parameters, or they rank among the world's top 10 in certain assessments. The proposals are open for public comment until November 15, and China is expected to adopt them by the end of the year.
3. Overseas operations and ownership
The rules could affect how Chinese AI developers use overseas data centres and structure partnerships, investment and ownership of AI assets. They provide simplified approvals for Chinese companies building and operating their own facilities abroad, but not expressly for transferring technology to foreign customers to build equivalent systems. The controls also cover methods for coordinating more than 10,000 AI chips.
