China weighs tighter export curbs on advanced AI models and semiconductor technology, including potential ban on TSMC use by domestic firms.

Chinese authorities are considering stricter export controls covering artificial intelligence and semiconductor technologies. The move reflects Beijing's effort to keep advanced domestic AI capabilities within China and signals that, like the United States, it increasingly views cutting-edge AI as a strategic national asset that may require tighter controls.

Earlier this month, Reuters separately reported that Chinese officials held meetings with leading technology companies on the possibility of limiting overseas access to China's most advanced AI models, including systems that have not yet been released.

According to a Financial Times report, regulators led by China's Ministry of Commerce have been consulting major domestic AI and chip companies on ways to prevent advanced Chinese technologies and top start-ups from being acquired by Western buyers. The ministry, which oversees export rules, has discussed possible limits with companies including Alibaba, ByteDance and Zhipu.

Those talks included restricting the transfer abroad of important data used to train AI models and limiting the ability of foreign users to download model weights. Officials have also sought industry feedback on potential restrictions that would stop overseas chipmakers such as Qualcomm and TSMC from manufacturing advanced semiconductors based on designs developed by Chinese companies including Huawei, Alibaba and ByteDance.

The proposed measures could be included in the next update of China's catalogue of technologies that are banned or restricted from export. The proposals remain under consideration and regulators are reviewing feedback from industry before reaching a final decision. Possible curbs could extend to overseas acquisitions of strategic technologies in fields such as agentic AI.

Reuters said it could not immediately verify the Financial Times report. China's Commerce Ministry, along with ByteDance, Alibaba, Zhipu, Huawei, Qualcomm and TSMC, did not immediately respond to requests for comment.