In May 2025, the Trump administration officially announced the repeal of the “AI Diffusion Rule”.

Is it true that “President Trump has indicated his intention to repeal the export restrictions on AI semiconductors established under the previous Biden administration”?

According to reports, President Trump has indicated his intention to repeal the export restrictions on AI semiconductors established under the previous Biden administration. Specifically, he plans to formally repeal the “AI Diffusion Rule” introduced by the Biden administration and formulate a new regulatory framework to replace it.

Source: Investor’s Business Daily, mintz.com, Lexology

What is the Biden administration’s “AI Diffusion Rule”?

The Biden administration introduced the “AI Diffusion Rule” to restrict the export of advanced AI chips due to national security concerns. This regulation divided countries in the world into three categories and imposed different export restrictions on each.

Tier 1: Major allies of the United States (e.g. Japan, South Korea)—No export restrictions.

Tier 2: Neutral or friendly countries (e.g. Mexico, Portugal) — export quantities are limited.

Tier 3: Countries of concern (e.g. China, Russia, Iran) — export ban or severe restrictions.

This rule was scheduled to go into effect on May 15, 2025, but was met with opposition from many countries and companies.

Trump Administration’s response and policy change
In May 2025, the Trump Administration officially announced the repeal of the “AI Diffusion Rule.” The Department of Commerce explained the reason for the repeal, saying that the regulation “stifles American innovation and imposes excessive regulatory burdens on companies.”
bis.gov, Carnegie Endowment for International Peace

Regarding the new alternative regulatory framework, the administration has indicated a policy of preventing technology leakage to hostile countries while placing emphasis on cooperation with trusted foreign countries. Specific details are expected to be announced in the future.

International impact and reaction
Tech industry: Major chipmakers such as Nvidia and AMD have welcomed the easing of export restrictions, saying it will expand sales opportunities in international markets.

Foreign relations: The European Union (EU) welcomed the lifting of export restrictions and hopes that EU countries will gain access to advanced AI technology.

Security concerns: Some lawmakers and experts have expressed concern that the easing of restrictions could lead to technology leakage to hostile countries such as China.

Conclusion
The claim that “President Trump has indicated his intention to lift export restrictions on AI semiconductors established under the previous Biden administration” is true. Currently, the Trump administration is working on developing a new regulatory framework.

Jensen: Wow, in two senses. . .