U.S. accuses China of stealing AI technology at "industrial scale"-KYODO

The U.S. has formally accused China of conducting industrial-scale theft of AI technology, escalating tensions in the critical tech domain. This allegation intensifies concerns over intellectual property risks in cross-border tech investments and could accelerate regulatory scrutiny on U.S.-China technology transfers, affecting joint ventures and supply chain partnerships. Chinese tech firms, particularly those with U.S. exposure or operating in AI, semiconductors, and advanced computing, face heightened reputational and operational risks, potentially dampening foreign capital inflows. The dispute adds to existing geopolitical headwinds weighing on global tech valuations, with risk appetite likely to decline for Chinese technology equities and dual-listed AI-related firms. Traders will watch the U.S. Department of Commerce’s upcoming review of export controls on advanced chips and AI software for concrete policy signals.

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