Biden fires parting shots at China

On Monday, the Biden administration announced a series of measures designed to cement its tech and economic pressure campaign against Beijing as US President Joe Biden prepares to leave office.

These include:

• New rules from the Commerce Department tightening authorization requirements for the export of advanced AI chips and models. (NYT)
• A proposed rule from Customs and Border Protection to strengthen oversight of low-value goods imports under the de minimis exemption. (SCMP)
• Accusations in a US Trade Representative report that Beijing unfairly bolstered its shipbuilding industry through “financial support, barriers for foreign firms, forced technology transfer and intellectual property theft and procurement policies,” which pave the way for US penalties. (Reuters)

That’s not all: In a speech at the State Department, Biden urged the incoming Trump administration not to cede AI dominance to Beijing, saying (Nikkei):

• "We must not offshore artificial intelligence, as we once did with computer chips and other critical technologies."
• “It must be the United States and our closest allies that lead the way.”

Get smart: In contrast to Trump’s largely ad hoc approach, Biden has sought to build a coherent legal framework for containing China’s technological and industrial ambitions.

• Trump could dismantle that framework, but would likely face congressional resistance given the broad bipartisan support for tough-on-China measures.

Get smarter: China’s commerce ministry has already blasted Biden’s new AI restrictions.

• Expect Beijing to get one more round of retaliation under the wire before Trump’s inauguration next Monday.