China has sharply criticized the United States for undermining a recently agreed trade détente following Washington’s warning regarding the use of Huawei’s advanced Ascend AI chips. According to the U.S. Commerce Department, the chips may have been developed using American technologies, potentially violating existing export controls.
In response, China’s Ministry of Commerce described the U.S. actions as “discriminatory” and “market-distorting,” asserting they violate the spirit of the Geneva agreement to reduce tariffs and promote cooperation. Beijing urged the U.S. to “correct its wrongdoings” and warned of potential countermeasures if Chinese interests continue to be harmed.
Huawei, which has been under U.S. sanctions since 2019, has continued to innovate in the field of artificial intelligence. The Ascend chips are central to China’s AI ambitions and are seen as a direct competitor to offerings from U.S. tech firms like Nvidia.
The escalating tensions reflect broader geopolitical friction as both nations seek to secure dominance in next-generation technologies while attempting to maintain a fragile economic balance.
