Tuesday, 16 December 2025

Overcoming AI chip gap no longer optional

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China's President Xi Jinping reacts during a bilateral meeting with Malaysia's Prime Minister Anwar Ibrahim at the official residence of the prime minister in Putrajaya, outside Kuala Lumpur, on April 16, 2025. (Photo by FAZRY ISMAIL / POOL / AFP)

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BEIJING: China must “overcome” key technological hurdles, especially in AI chips, to secure its ambitions in artificial intelligence, President Xi Jinping said during a Politburo meeting.

Facing a growing trade standoff with Washington — where US tariffs on Chinese goods have reached 145 per cent, and Beijing retaliated with 125 per cent duties — Xi stressed the need to strengthen basic research, close gaps in advanced chips and software, and build an autonomous AI ecosystem.

Since the launch of ChatGPT in 2022, AI models have proliferated, with Chinese startup DeepSeek making waves in January. 

However, Xi acknowledged Friday that China’s tech sector still lags behind, urging greater political support, from intellectual property protection to infrastructure access.

US export controls under Trump and Biden administrations, including new licensing requirements hitting Nvidia and AMD, have further squeezed China’s access to critical processors. 

During a visit to Beijing this month, Nvidia CEO Jensen Huang pledged to continue supporting China’s AI industry.

Washington insists these controls aim to prevent Chinese military advancements, but they also help maintain US dominance.

China’s AI ambitions have raised international concerns over personal data security and potential state access. – AFP

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