Elon Musk Thinks China is Interested in an International AI Framework

Elon Musk, Chief Executive Officer of SpaceX and Tesla and owner of Twitter, gestures as he attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition center in Paris, France, June 16, 2023. REUTERS/Gonzalo Fuentes/File Photo
Elon Musk, Chief Executive Officer of SpaceX and Tesla and owner of Twitter, gestures as he attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition center in Paris, France, June 16, 2023. REUTERS/Gonzalo Fuentes/File Photo
TT
20

Elon Musk Thinks China is Interested in an International AI Framework

Elon Musk, Chief Executive Officer of SpaceX and Tesla and owner of Twitter, gestures as he attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition center in Paris, France, June 16, 2023. REUTERS/Gonzalo Fuentes/File Photo
Elon Musk, Chief Executive Officer of SpaceX and Tesla and owner of Twitter, gestures as he attends the Viva Technology conference dedicated to innovation and startups at the Porte de Versailles exhibition center in Paris, France, June 16, 2023. REUTERS/Gonzalo Fuentes/File Photo

Billionaire Elon Musk said on Wednesday he thinks China is interested in a cooperative international framework on artificial intelligence, from conversations he had when he visited a few weeks ago.
Musk made the remarks in a Twitter Space event with two US congressmen, Democrat Ro Khanna and Republican Mike Gallagher, Reuters said.
"China is definitely interested in working in a cooperative international framework for AI regulation," Musk said. He added that he had advocated for artificial intelligence regulations and oversight, including in his meetings in China.
Musk's remarks came on the day he launched his long-teased artificial intelligence startup, xAI, after arguing for months about AI's potential for "civilization destruction."
Musk recently traveled to China and met the foreign, commerce and industry ministers as well as Vice Premier Ding Xuexiang. His Tesla electric car company has a factory in Shanghai.
Musk later said the Chinese government would seek to initiate artificial intelligence regulations.
On Thursday, China issued a set of interim measures to manage the booming industry, paving the way for its tech companies to roll out AI services.
Chinese foreign ministry spokesperson Wang Wenbin said China attached great importance to the development and governance of AI and "advocates adhering to the principle of human-centered intelligence and creating artificial intelligence for good."
"China is willing to enhance communication and exchanges with the international community on AI security governance, promote the establishment of an international mechanism with universal participation, and form a governance framework and standards that share broad consensus," Wang told a regular briefing in response to a question about Musk's comments.
Several governments are considering how to mitigate the dangers of the emerging technology, which has experienced a boom in investment and consumer popularity in recent months after the release of OpenAI's ChatGPT.
Regulators globally have been scrambling to draw up rules governing the use of generative AI, which can create text and images. Its impact has been compared to that of the internet.



Apple Leads Surge in Global Tech Shares after Trump Tariff Relief

A plaque commemorating President Donald Trump’s and Apple CEO Tim Cook's announcement an additional $100 billion Apple investment in the US in the Oval Office of the White House in Washington, DC, USA, 06 August 2025. EPA/BONNIE CASH / POOL
A plaque commemorating President Donald Trump’s and Apple CEO Tim Cook's announcement an additional $100 billion Apple investment in the US in the Oval Office of the White House in Washington, DC, USA, 06 August 2025. EPA/BONNIE CASH / POOL
TT
20

Apple Leads Surge in Global Tech Shares after Trump Tariff Relief

A plaque commemorating President Donald Trump’s and Apple CEO Tim Cook's announcement an additional $100 billion Apple investment in the US in the Oval Office of the White House in Washington, DC, USA, 06 August 2025. EPA/BONNIE CASH / POOL
A plaque commemorating President Donald Trump’s and Apple CEO Tim Cook's announcement an additional $100 billion Apple investment in the US in the Oval Office of the White House in Washington, DC, USA, 06 August 2025. EPA/BONNIE CASH / POOL

Global technology stocks advanced on Thursday in a relief rally after the latest tariff salvo from US President Donald Trump largely exempted industry heavyweights from his threat to impose 100% levy on chips and semiconductors.

Trump said the new tariff rate would apply to "all chips and semiconductors coming into the United States," but would not apply to companies that had made a commitment to manufacture in the US or were in the process of doing so.

Apple's stock rose 3.3% in premarket trading after Trump's announcement on Wednesday that the company will invest an additional $100 billion in the US, a move that could help it sidestep potential tariffs on iPhones.

US-listed chipmakers advanced broadly, with Advanced Micro Devices up 2.5%, Intel gaining 2.1% and Nvidia up 1.1%, Reuters reported.

"A major uncertainty has been removed and investors can finally move on," UBS analysts said in a note.

Semiconductor manufacturing equipment supplier Applied Materials and chipmakers Texas Instruments, GlobalFoundries and Broadcom - Apple's partners in the investment effort - climbed between 0.8% and 10.1%.

European chipmakers also joined the rally, with ASML , ASMI and BE Semiconductor Industries climbing about 3% each.

Germany's Infineon said it could not speculate on possible semiconductor tariffs, as no details have been disclosed yet. Its shares were up 0.6%.

Trump's latest on semiconductor tariffs seemingly rules out Taiwanese chip contract manufacturer TSMC, which makes chips for most US companies, including Nvidia, as it has factories in the US.

"The market remains keen to buy TSMC on dips. Investors also believe they need to remain positioned in AI - with or without tariffs," UBS analysts said.

TSMC shares closed almost 5% higher to hit all-time highs, while Samsung Electronics and SK Hynix climbed 2.5% and 1.4%, respectively.

South Korea's Samsung and SK Hynix will also not be subjected to 100% tariffs on chips, the country's top trade envoy said.

Samsung has invested in two chip fabrication plants in Austin and Taylor, Texas, while SK Hynix has announced plans to build an advanced chip packaging plant and research and development facility for artificial intelligence products in Indiana.

Since stepping into the White House in January, Donald Trump has made several tariff threats, specifically on semiconductors, aimed at reshaping the supply chain of the industry and spurring domestic production.

"The (100% tariff) figure fits Trump's approach of 'open high, negotiate down' and the final figure could be similar to reciprocal tariffs to limit inflation in consumer goods, given that many have chips," said Phelix Lee, senior equity analyst at Morningstar.

Not everyone has come out of the latest blitz on the right side, with the Philippines and Malaysia looking to find out more details about the tariff rate.

Dan Lachica, the president of the trade body for the Philippine semiconductor industry, said 70% of its electronics exports are semiconductors and the new tariff rate would be "devastating". Philippine stocks were down 0.1% after falling as much as 0.9% during the day.

Malaysia's trade minister said the country has reached out to US counterparts for clarity on the tariffs.