Trump administration vows crackdown on China's 'exploiting' of AI models made in the U.S.

"Michael Kratsios accused foreign entities 'principally based in China' of engaging in deliberate, industrial-scale campaigns to 'distill,' or extract capabilities from, leading AI systems made in the U.S. and 'exploiting American expertise and innovation.'"

"'China has always been committed to promoting scientific and technological progress through cooperation and healthy competition. China attaches great importance to the protection of intellectual property rights,' said Liu Pengyu, the embassy spokesperson."

"'We urge the U.S. to respect facts, discard prejudice, stop suppressing China's technological development, and do more to promote scientific and technological exchange and cooperation between the two countries,' said Guo Jiakun, China's Foreign Ministry spokesperson."

The Trump administration is intensifying efforts to prevent foreign tech companies, especially those from China, from exploiting U.S. artificial intelligence models. Michael Kratsios, the chief science and technology adviser, accused these foreign entities of conducting large-scale operations to extract capabilities from American AI systems. The administration plans to collaborate with U.S. AI companies to identify and penalize such activities. This initiative arises as China narrows the performance gap in AI, prompting concerns over U.S. dominance and the need to establish global standards.

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