Washington: The United States has released final rules aimed at limiting investments in artificial intelligence, semiconductors, and other technology sectors in China, characterizing these measures as vital national security precautions. These rules, effective January 2 of next year, are part of an executive order signed by President Joe Biden in August 2023. This initiative represents Washington’s ongoing efforts to restrict China’s access to critical technologies that could potentially pose security threats to the United States.
According to Yonhap News Agency, the Treasury Department announced that the rules encompass three key technology areas: semiconductors and microelectronics, quantum information technologies, and artificial intelligence. These technologies are deemed essential for the development of future military, cybersecurity, surveillance, and intelligence applications, as highlighted in a White House fact sheet. The rules strictly prohibit U.S. individuals from engaging in specific transaction
s related to these technologies and products, which are considered to pose a particularly severe national security risk. Additionally, U.S. individuals are required to inform the Department of the Treasury about certain transactions that might contribute to security threats.
China, as well as the special administrative regions of Hong Kong and Macau, has been identified as a country of concern under these regulations. Assistant Secretary of the Treasury for Investment Security Paul Rosen emphasized in a press release the critical role that AI, semiconductors, and quantum technologies play in advancing military, surveillance, intelligence, and cybersecurity applications. He noted that this final rule is a targeted measure to prevent U.S. investments from being utilized to develop key technologies by entities that could potentially use them against U.S. national security.
The announcement of these rules follows extensive consultations with stakeholders, congressional members, industry representatives, and int
ernational allies and partners, as noted by the White House.