{"id":240372,"date":"2026-07-22T16:12:47","date_gmt":"2026-07-22T16:12:47","guid":{"rendered":"https:\/\/teknomers.com\/en\/china-will-do-everything-possible-to-win-the-ai-race-even-if-it-means-penalizing-huawei-and-alibaba\/"},"modified":"2026-07-22T16:12:49","modified_gmt":"2026-07-22T16:12:49","slug":"china-will-do-everything-possible-to-win-the-ai-race-even-if-it-means-penalizing-huawei-and-alibaba","status":"publish","type":"post","link":"https:\/\/teknomers.com\/en\/china-will-do-everything-possible-to-win-the-ai-race-even-if-it-means-penalizing-huawei-and-alibaba\/","title":{"rendered":"China Will Do Everything Possible to Win the AI Race, Even If It Means Penalizing Huawei and Alibaba"},"content":{"rendered":"\n
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The Chinese Ministry of Commerce has initiated consultations with major technology companies regarding a package of export restrictions that focuses on the country’s own artificial intelligence (AI) ecosystem. This inward-looking approach is a strategic pivot as China seeks to protect its burgeoning AI sector from external pressures, particularly from Washington. According to the Financial Times<\/a><\/strong>, the proposal includes prohibiting Chinese chip designers from relying on foreign semiconductor firms such as TSMC and Samsung for the production of their integrated circuits.<\/p>\n

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This regulatory initiative encompasses a broader agenda, impacting the export of advanced AI models, placing restrictions on the training data that can be taken out of China, and tightening controls on foreign acquisitions of strategic technology companies.<\/p>\n

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The Chinese government aims to consolidate both hardware and software related to AI within its own borders. This includes ensuring that the chips, models, and training data remain domestically managed.<\/p>\n

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A Blow to Domestic Giants<\/h2>\n

The most significant aspect of this proposal involves semiconductor manufacturing. Major players like Huawei, Alibaba, and ByteDance currently depend on foreign semiconductor manufacturers such as TSMC (Taiwan) and Samsung (South Korea) for chip production. Limiting access to these international fabricators would leave these companies reliant on domestic manufacturing capabilities, which have not yet reached the cutting-edge levels necessary to support global competition.<\/p>\n

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Tightening rules on foreign acquisitions of strategic Chinese technology is also part of this regulatory package.<\/p>\n<\/p><\/div>\n<\/div>\n

The Ministry of Commerce has indicated plans to restrict the output of training data outside the country, impacting how companies like Alibaba, ByteDance, and Zhipu operate. This marks a significant shift from strategies previously employed by companies like DeepSeek, which publicly shared their model weights as a competitive strategy against Western AI technologies.<\/p>\n

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Moreover, the regulatory changes would also include stricter rules regarding foreign acquisitions of important Chinese technology, especially focusing on agentic AI. This attempt aims to close the legal loophole that enabled companies like Meta to acquire emerging technologies without Chinese approval\u2014a practice that had already led to repercussions in the form of rescinded deals.<\/p>\n

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If these restrictions are finalized, they will likely become part of China\u2019s next review of its catalog of prohibited or restricted export technologies. This catalog currently governs the exportation of essential resources such as rare earths and lithium. As of now, all proposals are under consultation, and neither the companies involved nor the Ministry of Commerce has confirmed their final scope. The paradox arises from China’s efforts to restrict its own companies’ access to advanced chip manufacturing under the guise of technological sovereignty, a move that may inadvertently hinder their global competitiveness.<\/p>\n

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Image | TSMC<\/a><\/p>\n

For more information, visit Tom’s Hardware<\/a>.<\/p>\n

In addition, you can check out how TSMC<\/strong> is increasing its investments in the US, with $265 billion allocated for 2 nm technology.<\/p>\n<\/div>\n


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General News – 2<\/a><\/p>\n","protected":false},"excerpt":{"rendered":"

The Chinese Ministry of Commerce has initiated consultations with major technology companies regarding a package of export restrictions that focuses on the country’s own artificial intelligence (AI) ecosystem. This inward-looking approach is a strategic pivot as China seeks to protect its burgeoning AI sector from external pressures, particularly from Washington. According to the Financial Times, […]<\/p>\n","protected":false},"author":1,"featured_media":240373,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[36399],"tags":[23795,2397,23553,374,28872,1315,1789],"class_list":["post-240372","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-technology","tag-alibaba","tag-china","tag-huawei","tag-means","tag-penalizing","tag-race","tag-win"],"_links":{"self":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/240372","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/comments?post=240372"}],"version-history":[{"count":1,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/240372\/revisions"}],"predecessor-version":[{"id":240374,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/posts\/240372\/revisions\/240374"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media\/240373"}],"wp:attachment":[{"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/media?parent=240372"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/categories?post=240372"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/teknomers.com\/en\/wp-json\/wp\/v2\/tags?post=240372"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}