Bloomberg: U.S. to revise AI chip export rules

The administration of U.S. President Donald Trump is preparing to roll back a Biden-era regulation governing the export of U.S.-made chips used in artificial intelligence technologies, Bloomberg reported on Wednesday, citing sources.

The policy review coincides with preparations for Trump’s upcoming visit to the Middle East. According to Bloomberg, countries such as Saudi Arabia and the UAE, which had previously expressed dissatisfaction with U.S. export restrictions, may now be able to negotiate more favorable terms with Washington.

The Biden-era framework divided chip-importing nations into three tiers based on the level of restrictions. The third tier, which included the most severe bans, applied to countries such as Russia, Iran, and China. Bloomberg said the Trump administration is drafting a new regulation that would eliminate the tiered system and instead impose targeted restrictions on countries rerouting chips to China, such as Malaysia and Thailand.

“Biden’s chip rule is overly complex and bureaucratic. It stifles U.S. innovation. We will replace it with a simpler and more effective rule to ensure American leadership in AI,” a spokesperson for the U.S. Commerce Department’s Bureau of Industry and Security told Bloomberg.