China Says US Spy Claims Justify Tech Blockade
Beijing has rejected US spy claims about Nvidia chief Jensen Huang, accusing Washington of using them as a pretext to impose a technology blockade on China.
Foreign ministry spokeswoman Mao Ning told a regular briefing in Beijing on Thursday that China rejected the claims. She said the United States should stop making up spy stories to justify curbs on Chinese technology.
The row centres on Huang, who co-founded Nvidia and turned it into the world’s leading supplier of the chips that power artificial intelligence.
US spy claims focus on Nvidia chief
Huang has admitted to having an extramarital affair, reportedly with Alice Huang. She is reported to be a former executive at Singapore-based Megaspeed, and US officials are said to believe she worked for Chinese intelligence.
China has dismissed the claims about spying on Huang as groundless speculation and an attempt to smear China.
The claims have already been reported in detail. US authorities have been probing the Nvidia chief, and Feature Pakistan has explained the Alice Huang case and the spy probe. The affair and the probe around Huang were first reported earlier this month.
Beijing’s statement on Thursday takes the story further. It is the first time the Chinese foreign ministry has framed the claims as part of a wider American effort to block China’s technology, rather than as a single case about one executive.
Chip curbs sit at the heart of the row
Huang has spent years lobbying against curbs on sales of advanced chips to China. Nvidia sells the most advanced AI chips in the world, and China is one of its largest markets.
US President Donald Trump last year cleared Nvidia’s H200 chips for export to China, over objections from hawks in both parties who fear Beijing winning the race to dominate AI technology. That decision eased one part of the curbs, but many limits on advanced chips remain in place.
The dispute matters because AI chips now sit at the centre of the contest between the two countries. The country that controls the best chips can train the most powerful AI systems, and both sides treat that as a matter of national strength.
Germany has also banned the military use of drones made in China, which shows the suspicion of Chinese technology now reaches beyond Washington.
What it means for Pakistan
The row reaches Pakistan too. Pakistan has said it is determined to turn the AI revolution into an opportunity, and access to advanced chips decides how fast any country can build AI capacity.
If the United States tightens chip curbs further, the cost and supply of AI hardware will rise for every buyer, including Pakistan. If China builds its own chips faster in response, the market may split into two camps, and countries will have to choose which one to buy from.
OpenAI has also moved to bring businesses onto ChatGPT, which shows how fast AI tools are spreading to firms and workers, and how much demand there is for the chips that run them.
Trump and Xi to meet next week
The furore comes ahead of a meeting next week between Trump and President Xi Jinping at the APEC gathering in Shenzhen in southern China.
Trade and technology are likely to dominate that meeting. The spy claims, and Beijing’s charge that they are a pretext for a blockade, will now form part of the backdrop to the talks.
Whether the two leaders can ease the tension will shape the chip market for months. For now, both sides are holding their lines: Washington keeps its curbs and its probe, and Beijing calls the claims false and the curbs a blockade.
Frequently asked questions
What did China accuse the US of?
Beijing accused the United States of using spurious spying claims as a pretext to impose a technological blockade on China.
Who is at the centre of the spy claims?
Nvidia chief Jensen Huang, who co-founded the firm and turned it into the world’s leading supplier of AI chips. US officials are said to believe a woman he had an affair with worked for Chinese intelligence.
What did Mao Ning say?
The foreign ministry spokeswoman said China’s technological progress is driven by independent innovation and open cooperation, and the US should stop fabricating spy narratives as a pretext for a blockade.
What are the chip curbs about?
The US limits sales of advanced AI chips to China. Trump last year cleared Nvidia’s H200 chips for export, over objections from hawks in both parties.
When do Trump and Xi meet?
The two presidents are due to meet next week at the APEC gathering in Shenzhen, China.
