China calls on the United States to relax export controls on critical components for artificial intelligence chips as part of a trade deal between the countries. This was reported by the Financial Times, citing informed sources.
According to the publication, Chinese officials informed experts in Washington that Beijing wants the Trump administration to ease export restrictions on high-bandwidth memory (HBM) chips - a key component for producing advanced AI chips. This request comes ahead of a possible summit between US President Donald Trump and Chinese leader Xi Jinping.
US Treasury Secretary Scott Bessen has already held three rounds of trade negotiations with China over the past three months. The Chinese delegation, led by Vice Premier He Lifeng, raised the issue of HBM during the talks. The US Treasury has declined to comment on the information.
Beijing disappointed with US chip controls
On the eve of the August 12 deadline, when the US and China must reach a trade agreement and avoid a return to high tariffs, US Secretary of Commerce Howard Latnik stated that the Trump administration will likely continue the 'customs truce' for 90 days. Beijing has been disappointed with US export controls on chips since 2022, when Joe Biden imposed measures aimed at limiting China's efforts to purchase or produce advanced AI chips. In 2024, he banned the export of HBM-type chips to China.
According to sources, China is particularly concerned about HBM controls as they severely limit the capabilities of Chinese companies, including Huawei, to develop their own artificial intelligence-based chips.
China demands the easing of export controls on critical components for artificial intelligence chips as part of a trade deal with the United States. Some experts believe this could affect future market relations between the countries and lead to new technology conflicts.