US Proposes AI Safety Notification Mechanism in Talks With China

US Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng wrapped up talks in New York on Sunday, with Washington proposing a new AI safety notification mechanism for Presidents Donald Trump and Xi Jinping to weigh at their summit this week.

Bessent said the two sides discussed establishing a US-China AI dialogue focused on national security, including a notification system covering AI-related incidents that reach that threshold. He argued that greater transparency between the world's two leading AI powers is essential, comparing it to other forms of cross-border activity.

Trump and Xi had first raised the idea of consultations on AI development during their May meeting in Beijing, but no formal forum was ever set up. China's response to the latest proposal was not immediately clear; He and chief trade negotiator Li Chenggang left the JPMorgan Chase headquarters without addressing the media.

US Trade Representative Jamieson Greer said export controls on advanced AI chips and semiconductor manufacturing equipment were not part of the AI mechanism discussions. He described Sunday's talks as preparation for a "successful summit" between Trump and Xi scheduled for Thursday and Friday in Washington.

The meeting also covered plans to operationalize a process agreed in May under which each side would identify potential tariff cuts on non-strategic goods, known as the "Board of Trade." Greer did not name specific products but reiterated his preference for a relatively small, balanced and non-sensitive subset of goods. Possible Chinese candidates included consumer and low-tech items, while US exports could include energy, agricultural goods and medical devices.

Neither Bessent nor Greer offered progress on improving the flow of critical minerals to US companies, which Washington has said remains insufficient despite Beijing's earlier commitments under last year's trade truce. They also gave no updates on unresolved issues from the May meeting, including Chinese pledges to buy an additional $17 billion a year in US agricultural goods and more than 200 Boeing aircraft.

China's Ministry of Commerce said on Saturday that He would lead a delegation of Chinese companies to the US for economic and trade consultations ahead of the summit. The business delegation mirrors a group of US CEOs Trump brought to Beijing in May, and was announced as Trump expressed openness to Chinese automakers building factories in the US. US auto industry groups on Friday urged Trump to maintain an effective ban on Chinese vehicle sales on national security grounds.

US Representative Ro Khanna, the ranking Democrat on the House Select Committee on Strategic Competition Between the United States and the Chinese Communist Party, said Trump and Xi must reach a deal covering AI safety. He called for an international agreement with core principles including a ban on self-improving AI and safeguards against misuse for biological or nuclear weapons.