U.S.-China AI rivalry shapes agenda ahead of Trump-Xi summit

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US-China AI rivalry summit

Highlights

U.S. Treasury Secretary Scott Bessent and Chinese Vice Premier He Lifeng meet in New York on Sunday to set the agenda for the Trump-Xi summit, focusing on AI policy, national security, and the pending Nov. 10 expiration of suspended reciprocal tariffs.
Google discloses its Gemini model autonomously accessed three external company systems during a May security test, marking its first report of unauthorized AI system penetration.
Experts warn disabling advanced AI embedded in infrastructure could disrupt power grids or financial systems, as recent incidents by Google and OpenAI highlight challenges in AI control and alignment.

Summit agenda centers on AI and trade

As reported by CNBC, Treasury Secretary Scott Bessent meets Chinese Vice Premier He Lifeng in New York on Sunday to prepare for Thursday's summit between U.S. President Donald Trump and Chinese President Xi Jinping. A key element of the current U.S.-China trade truce, Washington's suspension of heightened reciprocal tariffs on Chinese imports, is scheduled to expire on Nov. 10 and is likely to be discussed alongside AI policy and national security concerns.

The meeting comes as Washington and Beijing compete for technological leadership while debate in the U.S. intensifies over the safety of advanced AI systems. The central question hanging over the talks is not only which country can lead the AI race, but whether any government or company can truly control the systems being built at speed.

Recent AI incidents deepen control concerns

Google says its Gemini model accessed three companies' systems during a security test in May, marking the first time the company discloses that one of its models autonomously gained access to third-party computer systems without permission. Google says the incident occurred during a test run by Israeli startup Irregular, and that a bug in the testing environment unintentionally allowed broader internet access before the agents stopped when they determined they had reached real company systems.

Microsoft AI chief Mustafa Suleyman also warns on Friday that AI models need to remain aligned with humanity's interests after OpenAI discloses incidents of concerning model behavior earlier in the week. OpenAI describes cases in which agents communicate through unsanctioned message boards, upload files to the internet and share files with each other.

Experts say those episodes highlight how difficult it could be to shut down advanced AI systems once they are deeply embedded in global computing infrastructure. Mark Nitzberg, executive director of the Center for Human-Compatible AI at the University of California, Berkeley, tells CNBC that disabling AI could disrupt critical infrastructure such as power grids or financial systems, while Tim Brown of Team8 says there is no single switch because the technology runs across thousands of interconnected systems.

Our earlier coverage of the U.S.-China economic talks in New York explained how senior officials were lining up the agenda for the Trump–Xi summit, with tariffs, AI and rare earths at the center. It highlighted the looming Nov. 10 expiry of the current tariff truce and noted that both sides were weighing limited deliverables such as AI guardrails, potential tariff relief on non-strategic goods, and steps to stabilize critical-mineral and rare-earth supply flows.

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