Trump Administration to Supercharge AI Sales to Allies

  • The Trump administration released a new artificial intelligence blueprint on Wednesday, July 23, 2025, that aims to loosen environmental rules and vastly expand AI exports to allies, in a bid to maintain the American edge over China in the critical technology.
  • President Donald Trump will mark the plan's release with a speech outlining the importance of winning an AI race that is increasingly seen as a defining feature of 21st-century geopolitics, with both China and the United States investing heavily in the industry to secure economic and military superiority.
  • The plan, which includes some 90 recommendations, calls for the export of U.S. AI software and hardware abroad as well as a crackdown on state laws deemed too restrictive to let it flourish, a marked departure from predecessor Joe Biden's "high fence" approach that limited global access to coveted AI chips.
  • "We're establishing a program led by the departments of Commerce and State to partner with industry to deliver secure full-stack AI export packages, including hardware models, software applications and standards to America's friends and allies around the world," said Michael Kratsios, head of the Office of Science and Technology Policy. An expansion in exports of a full suite of AI products could benefit AI chip juggernauts Nvidia and AMD as well as AI model giants Alphabet's Google, Microsoft, OpenAI and Facebook parent Meta.
  • Biden feared U.S. adversaries like China could harness AI chips produced by companies like Nvidia and AMD to supercharge its military and harm allies. The former president, who left office in January, imposed a raft of restrictions on U.S. exports of AI chips to China and other countries that it feared could divert the semiconductors to America's top global rival.
  • Trump rescinded Biden's executive order aimed at promoting competition, protecting consumers and ensuring AI was not used for misinformation. He also rescinded Biden's so-called AI diffusion rule, which capped the amount of American AI computing capacity some countries were allowed to obtain via U.S. AI chip imports.

(Source: Reuters)