The jockeying is underway ahead of next week's White House meeting between US President Donald Trump and Chinese premier Xi Jinping, with artificial intelligence high on the agenda. The two countries are deeply at odds over AI, even disagreeing on what constitutes AI's biggest threats. This summit comes amidst a growing competition for AI dominance.
AI is expected to be a central talking point alongside lingering trade disputes and the yuan's valuation. Analysts are closely watching for potential concessions or agreements on guardrails for key areas of competition. Markets are currently sending mixed signals regarding the possible outcomes of the meeting.
Chinese models are increasingly challenging US dominance in AI, leading to concerns in the US that China could close the gap, similar to how Chinese electric vehicles rose to prominence. Trump has previously dismissed AI concerns as a "hoax," which some fear could inadvertently benefit Beijing. Despite calls from leading US labs to slow frontier AI development, preventing China's rise as an AI superpower remains a complex challenge for the US.
Washington and Beijing view advancements in AI as crucial for their economic and military competitiveness. However, significant disagreements persist regarding access to advanced chips, allegations of technology copying, and the regulation of the AI industry. US Treasury Secretary Scott Bessent is scheduled to meet with Chinese Vice Premier He Lifeng this weekend to discuss AI-related issues before the leaders' summit, with military applications of AI, such as interference with nuclear command networks, also a key concern.
