The new AI export regulations could significantly impact the global tech industry

The administration of Donald Trump is considering tightening restrictions on the export of advanced artificial intelligence (AI) processors, in a move that could have significant repercussions for the global tech industry and the economies of several countries.

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According to reports, only entities from the United States and 18 allies, classified as Tier 1 countries, will be able to acquire powerful AI processors without limits. This contrasts with the proposed restrictions for other nations, which could see their access to these critical resources reduced.

The new guidelines, framed within the well-known AI dissemination rule, previously allowed Tier 2 countries to obtain up to 1,700 units of Nvidia H100 GPUs without a license.

The U.S. does not want anyone else but them to develop AI

However, sources suggest that there is consideration to lower this limit, which could raise concerns among tech companies that fear such restrictions may harm their operations and encourage the development of Chinese alternatives.

The administration is also pressuring Japan and the Netherlands to restrict the maintenance service for semiconductor manufacturing tools in China.

This move could severely impact China’s semiconductor production, while ASML and Tokyo Electron, companies that provide these services, would lose millions in revenue.

In addition, sanctions are being evaluated against Chinese companies such as ChangXin Memory Technologies (CXMT) and Semiconductor Manufacturing International Corp. (SMIC).

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However, it is unclear how allies will respond to these proposals or when these regulations will be implemented, as it could take several months before they come into effect, due to the current personnel transition in federal agencies.