How the Proposed US-China AI Governance Body Rewrites the Rules of Global Technology Regulation
While diplomatic summits propose joint US-China AI governance bodies, a structural analysis reveals that merging America's decentralized regulatory web with China's centralized security apparatus is fundamentally incompatible.
By Tariq Nasser
- Decentralized Innovation Advocates
- Argues that AI governance should rely on voluntary standards and sector-specific agencies to avoid stifling commercial progress.
- State Security Centralizers
- Believes AI must be tightly controlled by the state to ensure social stability and military advantage.
- Global Arms Control Proponents
- Demands binding international treaties and verifiable limits on frontier models and autonomous weapons.
The competing cases
The US Decentralized Framework
Relies on sector-specific agencies and voluntary corporate commitments to manage AI risk without stifling commercial innovation.
For: This approach maximizes innovation speed by allowing the private sector to lead frontier model development. It leverages the technical expertise of the companies actually building the systems, adapting to market changes far faster than statutory law. By distributing oversight across existing agencies like NIST and the DOE, it avoids the bureaucratic bottleneck of a single regulatory chokepoint. Against: The lack of centralized enforcement creates regulatory arbitrage and struggles to mandate transparency. Voluntary commitments are unenforceable, and the government lacks the statutory authority to audit training runs or halt the deployment of dangerous models. Evidence: The reliance on the 2023 Executive Order and voluntary White House commitments, rather than comprehensive congressional legislation, demonstrates the structural limits of US federal authority over commercial AI. Fits well when: The primary geopolitical goal is maintaining a commercial and technological edge in frontier model development against foreign competitors. Does not fit when: Binding international treaties require a single national authority to guarantee compliance and enforce reciprocal transparency.
The Chinese Dual-Track Framework
Centralizes civilian AI regulation under cybersecurity organs while shielding military AI development under state security.
For: This model enables the rapid deployment of social-compliance guardrails and aligns commercial AI development directly with state objectives. By establishing clear, strict rules for civilian applications through the CAC, it provides domestic firms with explicit regulatory boundaries, reducing uncertainty in consumer markets. Against: The heavy-handed civilian regulation stifles open-ended commercial exploration, while the military track creates a black box that deters foreign trust. The strict separation means that safety innovations in the civilian sector do not necessarily translate to state-security applications. Evidence: China's rapid implementation of generative AI regulations—one of the world's first comprehensive frameworks—stands in stark contrast to its refusal to endorse the REAIM joint declaration on military AI or support binding UN resolutions on autonomous weapons. Fits well when: The state prioritizes social stability, content control, and national security above unregulated commercial disruption. Does not fit when: Building trust in international open-source ecosystems or participating in verifiable global arms control regimes that require military transparency.
The push for a joint US-China AI governance body sounds like a diplomatic breakthrough, but it masks a structural impossibility. The two nations are attempting to merge a decentralized, market-driven regulatory web with a centralized, state-security apparatus. While high-level summits in Geneva produce joint statements on "AI safety," the reality is that neither superpower is willing to cede technical oversight to an international authority. The rules of global technology regulation are being rewritten not by a unified treaty, but by the friction between these two incompatible systems.[2]
The hype framing around these intergovernmental dialogues often outpaces the actual capability of the proposed institutions. Politicians announce working groups and shared safety frameworks, suggesting a Cold War-style arms control regime for artificial intelligence. However, what actually ships are non-binding forums for crisis communication. The marketing language of "global AI safety" obscures the fact that these bodies lack the mandate to inspect data centers, audit frontier models, or enforce deployment pauses.
To understand why a joint regulatory body cannot function as advertised, one must examine the domestic architectures it attempts to bridge. The United States approaches AI governance through a decentralized, sector-specific lens. Rather than establishing a single Department of Artificial Intelligence, Washington distributes oversight across existing entities like the Department of Commerce, the Department of Energy, and the National Institute of Standards and Technology (NIST).
This American framework relies heavily on voluntary commitments from frontier model developers. It is designed to maximize innovation speed and leverage private-sector expertise, adapting quickly to market changes without imposing rigid statutory constraints. However, this decentralized approach means the US government lacks a single, unified mechanism to force its commercial sector into compliance with international treaties, complicating any bilateral enforcement promises.[2]
China’s approach represents a stark structural contrast. Beijing has constructed a dual-track regulatory system that centralizes authority based on the application domain. Civilian AI development is heavily regulated by the Cyberspace Administration of China (CAC), which mandates algorithmic transparency, watermarking, and strict adherence to social stability guidelines. This track provides clear regulatory boundaries for domestic firms and enables rapid deployment of compliance guardrails.[1]
Beijing has constructed a dual-track regulatory system that centralizes authority based on the application domain.
The second track of the Chinese system shields military and state-security AI applications behind a black box. While Beijing actively participates in UN forums on civilian AI governance, it consistently rebuffs efforts to impose verifiable constraints on its military AI programs. This dual-track model aligns commercial AI with state objectives but deters foreign integration and makes reciprocal transparency nearly impossible.
A comparative analysis of over 40 primary AI policy documents from both nations reveals the depth of this structural divide. While there is moderate overlap on technical standards—such as the need for adversarial testing, bias mitigation, and watermarking AI-generated content—there is zero convergence on enforcement mechanisms. The two nations agree on what a safe model looks like, but fundamentally disagree on who gets to declare it safe.[1]
The friction point becomes most visible in the military domain. In late 2025, 156 nations voted to pursue a legally binding treaty on lethal autonomous weapons systems. Both the United States and China rejected the initiative. The competitive logic of their geopolitical rivalry demands that neither side accept verifiable limits on autonomous deployment, as any restraint risks ceding a decisive military advantage.
Instead of binding arms control, the proposed US-China AI governance bodies function as diplomatic scaffolding. They preserve a channel for communication, allowing both sides to signal responsibility to the Global South while continuing their zero-sum competition for compute, talent, and strategic dominance. These dialogues are not designed to stop the AI race; they are designed to prevent it from triggering an accidental conflict.
Ultimately, the global rules for AI will not be written by a joint regulatory agency in Geneva. They will be forged by the market dominance of American open-weight models and the export of Chinese surveillance architectures. The proposed governance bodies serve a vital purpose in maintaining strategic stability, but they cannot reconcile a decentralized commercial ecosystem with a centralized security state.[2]
- 40+
- Primary AI policy documents analyzed
- 156
- Nations backing autonomous weapons treaty (rejected by US/China)
- 2
- Distinct regulatory tracks in China's AI framework
Sources
[1]arXivGlobal Arms Control ProponentsPromising Topics for U.S.-China Dialogues on AI Risks and Governance
Read on arXiv →
[2]Factlen Editorial TeamGlobal Arms Control ProponentsSynthesis by Factlen editorial team
Read on Factlen Editorial Team →
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