U.S. Department of Commerce Withdraws Proposed AI Chip Export Rule

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CFT considerations may have influenced the U.S. Department of Commerce’s March 14 withdrawal of a proposed AI chip export rule, with no official reason provided. The draft, posted on February 26 with a "pending review" label, aimed to regulate global access and reportedly considered requiring foreign investments or security assurances for large chip orders. The move occurs amid shifting regulatory priorities impacting risk-on assets, as the Trump administration seeks to reshape the Biden-era AI export framework. A former official suggested that internal disagreements over global AI leadership and national security likely led to the reversal.

ChainThink reports that on March 14, according to foreign media, a U.S. government website revealed that the U.S. Department of Commerce has withdrawn a proposed rule regarding the export of artificial intelligence (AI) chips. The draft rule, which was intended to regulate global access to AI chips, had been sent to other agencies for comment at the end of February. The website did not provide a reason for the withdrawal, and the U.S. Department of Commerce spokesperson has not yet responded to requests for comment.


This withdrawal marks another setback for the Trump administration’s efforts to rescind and replace the AI chip export framework issued by the Biden administration in January 2025. The rule, titled "AI Action Plan Implementation," was published on the Office of Information and Regulatory Affairs website on February 26 with a status of “Under Review,” before being removed.


Documents show that the plan previously considered requiring foreign investment in or security assurances for U.S. data centers as a condition for approving exports of 200,000 or more chips. A former official said on Friday that the withdrawal of the latest proposed rules likely reflects internal disagreements within the government over how to achieve global AI leadership and address national security concerns. (Jin10)

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