Trump administration frames AI development as a competition with China

The Trump administration has made its position on artificial intelligence clear. AI is a race, China is the only other runner, and cooperation is off the table. The awkward part is that many American companies are quietly buying from the competition. Inexpensive Chinese-made AI tools are reportedly winning business that might otherwise go to Silicon Valley. A two-horse race, by presidential decree Ahead of his September 2026 meeting with Chinese President Xi Jinping, President Trump cast AI development as a zero-sum contest between Washington and Beijing. “Whoever wins AI, wins,” Trump said. He went further, describing the field as strictly a US-China affair with no country holding third place. The summit did produce something. Between September 23 and 25, 2026, the two countries set up an AI dialogue along with channels for communicating about incidents. Trump made clear he still rejects deeper cooperation, voicing concern that working together on AI development could lead to sensitive information slipping away. That concern isn’t abstract for US officials. They have accused Chinese firms such as DeepSeek of large-scale model distillation, a practice the officials say copies Ameri...