China's AI Progress Amid U.S. Restrictions
- Tech Brief
- Jan 9
- 1 min read

Despite U.S. export restrictions on advanced AI chips, China has made significant strides in artificial intelligence, narrowing the gap with the United States. Chinese tech giants like Alibaba, Tencent, and AI developer DeepSeek have introduced models that rival or surpass their American counterparts. This progress is attributed to a focus on data utilization, innovative algorithms, and the stockpiling of advanced chips prior to the imposition of U.S. restrictions.
Time
The U.S. has implemented measures to limit China's access to advanced AI chips, aiming to curb Beijing's technological advancements. These measures include export controls and efforts to prevent China from acquiring AI chips through third countries. However, Chinese companies have found ways to circumvent these restrictions, such as stockpiling chips, upgrading local foundry processes, and utilizing offshore AI services.
The Diplomat
In response to U.S. actions, China has imposed its own restrictions on crucial minerals like gallium and germanium, essential for the chip industry, leading to global supply issues and price increases. This tit-for-tat highlights the ongoing technological rivalry between the two nations.
Business Insider
Despite these challenges, China's AI industry continues to attract significant investment. Companies like ByteDance, the owner of TikTok, are leading efforts in generative AI by hiring top talent and investing heavily in AI infrastructure. ByteDance's AI chatbot, Doubao, has become the most popular AI app in China, surpassing competitors in monthly active users.
Financial Times
While China has made impressive advancements, the United States maintains a lead in AI innovation. A Stanford University index ranks the U.S. as the leading country in AI innovation, surpassing China in various dimensions, including research, private investment, and responsible technology development.
AP News
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