The U.S. Commerce Department rescinded a Biden-era rule restricting AI chip exports to numerous countries, citing concerns about stifling American innovation and imposing burdensome regulations. The rule, intended to balance national security with economic interests, faced strong opposition from U.S. chipmakers and affected countries, who argued it could drive them towards China. The Trump administration plans to replace the rule with one focusing on collaboration with trusted partners while preventing adversaries from accessing the technology. The European Commission welcomed the decision, stating the previous rule would harm U.S. diplomatic relations.

Prepared by Jonathan Pierce and reviewed by editorial team.