China has proposed new export controls on 23 artificial intelligence technologies as Beijing seeks to protect tools it sees as vital to national security. The plan covers AI models, agents and computing clusters amid growing competition with the United States.
China’s commerce ministry announced the proposals on Friday, October 16. The rules would cover the overseas deployment of AI models that contain restricted technology. However, they would not block access through application programming interfaces, websites, apps or software-as-a-service platforms.
This difference could allow Chinese AI firms such as DeepSeek and Alibaba to keep serving users abroad. At the same time, the government would gain more control over the transfer of sensitive technology to other countries.
The proposals come as Chinese AI models gain users around the world. Lower prices and better performance have helped local developers compete with leading US companies. DeepSeek’s R1 model drew global attention early last year and increased pressure on Beijing to decide how much of its AI technology should remain available overseas.
Beijing Seeks Greater Control Over AI Exports
The proposed rules form part of China’s effort to manage the spread of advanced technology. Officials say some AI tools could be misused in ways that threaten public safety, critical infrastructure and national security.
The commerce ministry said the controls aim, in part, to prevent the misuse of AI systems that can create or change malicious software on their own. Such tools could make cyberattacks easier to carry out and harder to stop.
Advanced AI models can assist with coding, research and complex tasks. But the same abilities may also help users find weaknesses in computer networks or develop harmful software. Governments are increasingly concerned about how these capabilities could be used against essential services and national systems.
The ministry said most AI technologies would still be free to export. The proposals would also offer simpler licensing for exports involving open-source technology and Chinese firms that run their own computing centers overseas.
Technology already made public through open-source releases or academic papers would not fall under the proposed controls.
The plan therefore draws a line between sharing AI services and transferring the technology behind them. Chinese developers could continue to offer tools to foreign users while facing tighter rules when moving certain sensitive systems or capabilities abroad.
DeepSeek and Alibaba Could Keep Expanding
The proposed rules could have a direct effect on the global plans of Chinese technology companies. DeepSeek, Alibaba and other developers have attracted overseas interest by offering AI models that can compete on cost and performance.
Allowing access through APIs and online platforms could help these companies maintain their international reach. Overseas customers would still be able to use services without necessarily receiving the underlying model technology.
However, the limits on overseas deployment could affect some business deals and technical partnerships. Companies seeking to install restricted models outside China may face additional checks or licensing requirements.
The proposals follow earlier discussions about controlling access to China’s most advanced AI systems. In July, reports said Chinese authorities had considered possible limits with major technology firms, including Alibaba, ByteDance and Z.AI. Those discussions included advanced models that had not yet been released.
The latest plan gives more detail on how Beijing may seek to control technology transfers while allowing commercial use to continue.
US Restrictions Add to AI Competition
China’s move comes as Washington maintains limits on China’s access to advanced American AI chips. These chips are important for training powerful AI models and running large computing systems.
US companies such as Anthropic and OpenAI have benefited from access to leading computing technology. Export restrictions have made it harder for Chinese developers to obtain some of the most advanced chips, although Chinese firms continue to seek ways to narrow the gap.
The competition is not limited to commercial products. Both countries are also concerned about the security risks created by increasingly capable AI systems.
Advanced models may help users carry out cyberattacks or develop harmful code. The potential impact has pushed governments to consider how such tools should be controlled and monitored.
The United States and China have also taken steps to discuss risks from advanced AI. The two countries have agreed that humans should remain in control of decisions involving nuclear weapons. Last month, they also established a dialogue and a channel for communicating about incidents involving advanced AI.
These efforts show that competition and cooperation are taking place at the same time.
China Reviews Wider Technology Export Rules
The AI proposals are part of a broader update to China’s technology export catalogue. The review covers 40 technologies across artificial intelligence, biotechnology and solar power.
The proposed measures would also restrict the transfer of intellectual property ownership in some areas of biotechnology. These include certain new cell and gene therapies and small interfering RNA, or siRNA, technologies.
Exporters must register certain overseas technology transfers from Friday while the proposal moves through public consultation. The consultation period is due to close on November 15, after which authorities may issue final rules.
The final measures could shape how Chinese firms sell, license and deploy advanced technology overseas. Their impact will depend on which proposals become binding and how the licensing process works in practice.
For now, Beijing’s plan seeks to balance two goals: supporting the global growth of Chinese technology companies and protecting capabilities that officials view as important to national security.
The proposals also underline how AI is becoming a central part of the wider technology rivalry between China and the United States.
