How America’s dizzying AI strategy plays into China’s hands

Sam Bresnick, Barrons
4 min read9 Aug 2026, 03:47 PM IST
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The Trump administration has come under pressure to develop an AI policy framework to address Chinese AI developments after a Chinese lab released an open weight AI model, Kimi 3, in July.
Summary
The Trump administration’s contradictory AI policies undermine its goal to beat China in the AI race, Sam Bresnick writes.

Early in his second term, President Donald Trump staked out an accelerationist approach to artificial intelligence. Instead of restricting the spread of U.S. semiconductors, as his predecessor did, his administration would promote their export far and wide.

Fast-forward a year, and officials in his administration are sounding the alarm about China’s AI advancements. They warn that China’s AI labs are quickly closing the gap with their U.S. counterparts. Chinese labs, they say, are stealing intellectual property from U.S. labs and using it to create capabilities that endanger our national security. The administration is now considering banning Chinese AI models.

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