Trump plans new AI Force as U.S. competition with China intensifies

Trump plans new AI Force as U.S. competition with China intensifies
AI policy moves closer to the center of U.S.-China technology competition

​Artificial intelligence is rapidly moving beyond the technology sector and becoming a matter of national strategy. Washington now faces a harder question: how to accelerate development without losing sight of the risks that come with it.

White House prepares a new AI structure

U.S. President Donald Trump said he plans to appoint a new artificial intelligence adviser, or “AI czar,” and create a dedicated “AI Force.” Few details have been released about the initiative’s authority, structure, budget or place within the federal government.

The appointment would revive a role previously held by venture capitalist David Sacks, who left the formal AI and crypto czar position earlier this year but has remained involved in technology policy from outside that role.

Trump pushes back against tighter AI regulation

The announcement comes as debate in Washington intensifies over the safety of increasingly powerful AI systems. Some lawmakers and technology executives have called for stronger oversight, while the Trump administration has argued that overly restrictive rules could slow innovation and weaken the U.S. position in global AI competition.

Trump has left room for action against harmful uses of AI, but has made clear that he does not want regulation to slow the industry’s overall development. In announcing the AI Force, he said existing criminal and civil law could be used to address harmful behavior while the government continues to support industry growth.

David Sacks has taken a similar approach. He has argued that AI developers should bear primary responsibility for the safety of their products and be accountable for harm, rather than relying on an expansive new federal regulatory framework.

At the same time, AI is moving quickly beyond research labs and into everyday workflows across multiple industries. As Traders Union has previously noted, financial markets offer a clear example: modern AI systems can process news flows, analyze large datasets and identify patterns that would be difficult to track manually. The broader these practical applications become, the more important the debate over where innovation ends and government oversight should begin.

Competition with China moves to the foreground

The initiative also arrives as AI becomes a more prominent part of the economic and technological rivalry between the U.S. and China.

U.S. Treasury Secretary Scott Bessent is set to meet Chinese Vice Premier He Lifeng in New York, with AI security, trade and other economic issues on the agenda. The talks come ahead of a planned meeting between Trump and Chinese President Xi Jinping.

That puts the proposed AI Force into a broader strategic context. The administration has repeatedly linked rapid domestic AI development to competition with China, while U.S. officials have also signaled some willingness to discuss shared AI risks with Beijing.

For now, however, the practical impact on major AI companies remains difficult to assess. The White House has not yet outlined the new structure’s budget, authority or operating model, leaving the AI Force more clearly defined as a policy direction than as a fully developed government institution.

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