U.S. tells allies to pick sides in AI race with China

The United States is preparing to tell dozens of countries they must choose sides in the AI race with China, according to a Reuters exclusive citing a US official and an internal State Department draft. The letter, addressed to 35 signatories of the US 'AI Opportunity Statement' — a group that includes Pax Silica framework members like Japan, Australia, South Korea, and Kazakhstan — warns that joining both US and Chinese initiatives is unacceptable. 'Signature of the Pax Silica Declaration is not merely a membership subscription, but a commitment,' the draft reads. Kazakhstan is the only country known to have joined both Pax Silica and China's rival 'World Artificial Intelligence Cooperation Organization,' launched by Xi Jinping in July.

The US launched Pax Silica last year to secure supply chains for AI models, semiconductors, and critical minerals, aiming to reduce reliance on adversaries. The letter frames participation as binary: countries cannot hold membership in 'duplicative initiatives whose expectations conflict with our own.' While the State Department declined to comment on leaked documents, China's embassy countered that politicizing tech trade 'will only stifle global AI advances.' The move underscores intensifying US-China competition as Chinese open-weight models gain ground on proprietary systems from OpenAI and Anthropic. Beijing is also weighing restrictions on overseas access to its leading AI models. Washington's strategy aims to starve China of resources, particularly critical minerals, which Beijing has weaponized in the tariff war. The letter's timing and final wording remain unconfirmed, but the message is clear: neutrality is not an option.