Export Compliance Daily is providing readers with the top stories from last week, in case you missed them. You can find any article by searching for the title or by clicking on the hyperlinked reference number.
Members of a U.S. commission on China said they approved of the Trump administration’s AI chip agreement with the United Arab Emirates last week, but they also stressed that the deal should have stringent security guardrails in place to verify that any U.S. chips aren’t being sent on to Beijing.
The Trump administration should make sure its replacement to the Biden-era AI diffusion rule (see 2505130018) allows U.S. companies to compete fairly with foreign firms, industry officials said at the Federal Communications Bar Association annual seminar last week.
The Bureau of Industry and Security quietly revised its announcement of new guidance on Huawei Ascend chips to remove language that said using those chips “anywhere in the world” is a violation of U.S. export controls.
The White House defended its new AI partnership framework with the United Arab Emirates, saying in a statement late May 16 that the agreement “will help ensure the global AI ecosystem will be built with American chips and use American models, all while guaranteeing significant UAE investments into the United States.”
The Bureau of Industry and Security is looking to continue moving away from proposed rulemakings and instead issue most new rules as interim final or final, said two people with knowledge of the agency’s plans.
Seven Senate and House Democrats issued a joint statement May 16 criticizing the Trump administration’s reported new AI agreements with the United Arab Emirates and Saudi Arabia, saying the deals don't have “credible security assurances” to prevent U.S. “adversaries” from accessing advanced American chips.
A bipartisan group of eight House members May 15 introduced a companion to a Senate bill that would require export-controlled advanced computing chips to contain location verification mechanisms. The legislation is intended to prevent the diversion of chips to “adversaries” such as China.
Trade groups representing three strong exporting sectors -- soybeans, semiconductors and medical devices -- and an expert in critical minerals trade all told the Senate Finance Committee that higher tariffs on all countries and products, and constantly changing tariff policy, aren't good for American competitiveness.
China criticized new guidance from the Bureau of Industry and Security this week that said using Huawei Ascend chips likely violates export controls (see 2505130018), saying the announcement is another example of U.S. “unilateral bullying.”