US intelligence agencies, including the FBI, NSA, and CISA, have accused Chinese developers of systematically distilling advanced American AI models. The report alleges that since 2024, companies such as DeepSeek, Alibaba, Moonshot AI, and Z.ai have been copying capabilities from systems like OpenAI ChatGPT, Anthropic Claude, Google Gemini, and SpaceXAI Grok.
The Chinese Ministry of Commerce rejected these claims, labeling them baseless and accusing the US of attempting to establish a monopoly in the AI sector. Beijing stated that model distillation is a common industry practice used globally, including by American firms, and warned of potential retaliatory measures if the US continues to suppress Chinese companies.
The Chinese Ministry of Foreign Affairs urged the US to stop making unfounded accusations, emphasizing that China's AI progress is driven by technological self-reliance. Officials called for international cooperation to foster an open and inclusive AI development environment.
The issue is expected to be addressed during a meeting between US President Donald Trump and Chinese leader Xi Jinping scheduled for September.
