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Regulation AI Minute Newsroom 2026-08-16

Washington is about to tell 35 countries they cannot belong to both AI blocs

Washington is about to tell 35 countries they cannot belong to both AI blocs

Reuters has seen a draft State Department letter addressed to the 35 countries that signed the American AI Opportunity Statement in June. It tells them that joining the World Artificial Intelligence Cooperation Organisation — the body Xi Jinping announced in July, which offers downloadable Chinese open-weight models as an alternative to American systems — will cost them their place in Pax Silica, the US framework covering AI models, semiconductors and critical minerals. 'To be part of everything is to be part of nothing,' the draft says, calling the declaration 'not merely a membership subscription, but a commitment'. About two dozen of the 35 have already joined Pax Silica; Kazakhstan is the only country known to be on both lists. The draft names no sanctions and sets out no enforcement machinery.

Why it mattersUntil now a government could sign up to the American export-control and investment club and still download Chinese open models without anyone making it an issue. This letter closes that gap, and it does so at the level of the state rather than the company: the question stops being which model a developer picks and becomes which side a country picked. For a mid-sized economy the trade is guaranteed access to American chips against free access to weights it can run on its own hardware. Kazakhstan is the test case, because it is currently on both lists and somebody will now have to decide what that costs.

✓ Verified · 4 sources

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