Biden's AI chip "quota system" is met with discontent; EU planning to raise concerns to Trump administration.

According to informed sources, the European Union will express concerns to the United States about the decision to restrict companies like NVIDIA Corporation (NVDA.US) from exporting artificial intelligence chips to some of its member countries. It is understood that the Biden administration in the United States implemented an export control measure during its term to restrict the export of artificial intelligence chips. This system categorizes global countries and regions into three levels, each with different export restrictions. Poland and some of its Eastern European allies within the EU are classified as Tier 2 countries, and excess exports to these countries will be subject to quantity and licensing restrictions. The goal of these measures is to ensure that global development in artificial intelligence meets US standards and relies on US technology. NVIDIA Corporation and Oracle Corporation (ORCL.US) have warned that this could have a catastrophic impact on the US technology industry. The three levels under this measure are as follows: Tier 1 includes G7 members as well as Australia, New Zealand, South Korea, Taiwan, the Netherlands, and Ireland among 18 countries and regions, which will not face any restrictions; Tier 2 includes around 120 countries such as Singapore and Saudi Arabia, where excessive exports will be subject to quantity and licensing restrictions; Tier 3 includes mainland China (including Hong Kong and Macau), Iran, Russia, North Korea, where the US effectively bans exports to these countries and regions. Sources state that this differential treatment of member countries goes against the EU's single market. One source mentioned that this will hinder innovation in Eastern Europe and unfairly favor Western European companies. Poland's Minister for Digital Affairs Krzysztof Gawkowski stated that the White House's decision is "puzzling, without any substantive reason." Foreign ministers of Latvia, Estonia, and Lithuania expressed in a joint statement that this damages the development of "our country's artificial intelligence ecosystem." While Trump did not mention Europe extensively in his inauguration speech, he repeatedly threatened tariffs, and the EU is preparing for the worst-case scenario. Reports suggest that if efforts to engage with the Trump administration on alternative solutions fail, the EU is prepared with a list of goods that Trump may target with tariffs.