China has reportedly demanded that the United States relax export controls on essential components for the self-development of artificial intelligence (AI) chips.
On the 9th (local time), the Financial Times (FT) of the United Kingdom reported that during trade negotiations between Vice Premier He Lifeng of China and U.S. Treasury Secretary Scott Bessent, the Chinese side conveyed a request to ease restrictions on high-bandwidth memory (HBM) exports.
HBM is a key component necessary for the development of AI chips. The United States banned the export of HBM to China to hinder the AI chip development of the Chinese semiconductor company SMIC during the previous administration of Joe Biden.
Gregory Allen, an AI expert at the Center for Strategic and International Studies (CSIS) in the United States, noted that "HBM is essential for advanced AI chip manufacturing," adding that "HBM accounts for half the value of the chip."
President Donald Trump went a step further by announcing a ban on the export of the H20 chip, which Nvidia designed with reduced performance for the Chinese market, shortly after taking office.
China is in a situation where there are significant concerns about HBM export controls. If Chinese corporations cannot procure HBM, it will be difficult for them to develop their own AI chips.
In some political circles in the United States, there are predictions that President Trump may accept China's request to relax HBM export regulations. It is suggested that President Trump could concede on HBM to obtain what he wants regarding trade during his meeting with Chinese President Xi Jinping.
However, the United States has a long way to go before relaxing HBM export restrictions. Voices are growing in the U.S. Congress calling for strengthening regulations and surveillance on AI chips related to China.
John Moolena, a Republican congressman from Michigan who heads the House China Strategy Competition Special Committee, said that "China is using gaming chips, which are not subject to export controls, for training advanced AI models," and added that "the Department of Commerce and Nvidia must respond more proactively."