Beijing rejects US allegations regarding AI companies: ‘They are unfounded; we will take countermeasures’

China firmly rejects recent accusations by the United States that certain Chinese artificial intelligence companies are engaged in large-scale activities to extract capabilities from US AI models and warns that countermeasures will be taken. This was stated by a spokesperson for the Chinese Ministry of Commerce, who described the allegations as “unfounded and lacking any legal basis”. This was reported by Xinhua.

According to the ministry, the United States is politicising so-called model distillation, a common technical and commercial practice in the artificial intelligence sector. Distillation enables models to learn more efficiently and, according to Beijing, is used by AI companies worldwide, including those in the US.

The spokesperson also emphasised that Chinese open-source models are accessible to businesses worldwide, including US firms, and stated that some US companies have reported having carried out distillation on a large number of Chinese models.

Beijing accuses Washington of applying double standards and of seeking to use the allegations regarding distillation as a pretext to restrict Chinese companies and maintain its dominance in the computing and data sectors. China, the spokesperson added, is ready to discuss issues relating to artificial intelligence with the United States in a “constructive and professional” manner, based on the principles of equality, mutual benefit and cooperation. The two heads of state have agreed to launch an intergovernmental dialogue on AI. However, Beijing also warns that, should Washington take measures against Chinese companies under the pretext of combating model distillation, China “will certainly take resolute countermeasures”.