U.S. and China Prepare for September AI Talks Amid Global Tech Race
The United States and China are preparing for official bilateral talks on artificial intelligence in September, marking the first such dialogue under the Trump administration. Led by Treasury Secretary Scott Bessent, the meetings aim to address the risks posed by frontier models and the potential proliferation of advanced AI technology to non-state actors. Five sources familiar with the matter confirmed the plans to Reuters, noting that the superpowers are grappling with how to regulate the risks inherent in their increasingly powerful, rival frontier models.
Diplomatic Strategy and the September Timeline
The upcoming discussions stem from a broader agreement reached during the May summit between President Donald Trump and President Xi Jinping. While specific dates remain under deliberation, the talks are expected to occur before President Xi’s planned visit to the U.S. on September 24. These meetings represent a shift toward formalizing communication channels regarding the rapid development of AI capabilities in both nations, as both capitals weigh how advanced models could strengthen military capabilities, enable cyberattacks on critical infrastructure, and disrupt labor markets.
Treasury Secretary Scott Bessent is slated to lead the American delegation. Bessent previously traveled to Beijing earlier this year to establish the groundwork for an AI safety protocol. His approach to these negotiations is rooted in the current U.S. technological advantage. In May, Bessent stated, The reason we are able to have wholesome discussions with the Chinese on AI is because we are in the lead.
He has also projected that AI advancements could potentially double U.S. productivity, drawing a comparison to the internet boom of the 1990s. Following the Trump-Xi summit, China’s foreign ministry confirmed the two nations had agreed to establish intergovernmental AI talks.
Core Objectives and Regulatory Friction
The agenda for the September talks is still being finalized as preparations remain at an initial stage. The primary focus remains the halting of the proliferation of powerful AI models to non-state actors, a framework Bessent first outlined on May 14 during talks in Beijing. Bessent previously noted that meetings could start within the next four to eight weeks.
Analysts suggest that Beijing is prioritizing technical engagement over purely political posturing. Key items for Chinese officials include the status of advanced models—such as the restricted Anthropic model “Mythos,” which is currently not available to the general public—and the potential for U.S. restrictions on Chinese open-weight models. The U.S. has already limited exports to China of some of the most advanced AI chips, and reports indicate that Washington is considering restrictions on the use of Chinese open-weight models by U.S. companies. Meanwhile, Chinese authorities are reportedly mulling curbs on overseas access to their own most powerful AI models, amid concerns about the potential hacking capabilities of models like Mythos.
For more on this story, see China Extends Visa-Free Travel to UK and Canada Starting February 2026.
Global Coalitions and Market Implications
While the U.S. pursues bilateral protocols, China is simultaneously expanding its own influence through the World Artificial Intelligence Cooperation Organisation (WAICO), launched in July at the World AI Conference in Shanghai. WAICO already includes 29 member nations. Furthermore, China has committed to providing 5,000 AI training opportunities for developing countries over five years. This strategy aims to promote open-source AI and forge partnerships with emerging economies that might otherwise default to American-led frameworks.
For market participants, the September talks serve as a critical signal for future regulatory trends. Because AI and crypto assets increasingly share the same computational backbone, specifically the demand for high-end GPUs, any bilateral agreement on compute restrictions, data sovereignty, or cross-border technology sharing could eventually impact hardware accessibility and cloud infrastructure. The Treasury Secretary’s direct involvement suggests that AI governance is moving up the agenda, potentially competing for legislative bandwidth with crypto regulation, which has dominated fintech policy in recent years.
As the Trump administration remains in talks with U.S. AI companies about creating voluntary safety standards for the release of new models, the September dialogue will test whether the two superpowers can align on foundational definitions. Preparations are currently underway, though the White House, U.S. State Department, and U.S. Treasury did not immediately respond to requests for comment. Similarly, China’s National Development and Reform Commission, cyberspace regulator, industry and foreign ministries, and the State Council did not immediately respond to faxed requests for comment.
Sources: CNBC, Crypto Briefing.
