China has criticized the United States’ recent decision to ban the use of products from Chinese artificial intelligence startup DeepSeek by federal civilian agencies, signaling the heightened tensions between the two nations amid their competitive efforts in AI development. The U.S. Department of Homeland Security issued a directive, first dated late July and made public Monday, instructing agencies to remove DeepSeek products and any third-party services incorporating DeepSeek’s technology from their information systems. The order also prohibits these agencies from procuring DeepSeek-related products and services moving forward.

The U.S. government expressed concerns that DeepSeek’s AI models pose multiple security risks, in part because the company’s servers are based in China, potentially allowing Chinese authorities access to sensitive U.S. data and infrastructure. Although DeepSeek’s open-source AI models are widely accessible and generally free, the U.S. federal government views them as presenting significant threat vectors.

Responding in Beijing, Chinese Foreign Ministry spokesperson Mao Ning condemned what she described as an overextension of the national security concept. She affirmed that China is committed to protecting the legal rights of its companies. Similarly, the Ministry of Commerce issued a statement denouncing the U.S. action as discriminatory and inconsistent with prior agreements reached between Chinese President Xi Jinping and U.S. President Donald Trump. The ministry accused the United States of attempting to suppress China’s technological progress under the pretext of national security and pledged to monitor the situation closely while preparing to take necessary measures to defend China’s interests.

This development comes amid ongoing efforts by China and the United States to collaborate on AI governance. Recently, both sides made some progress on establishing a notification system designed to address national security-related AI incidents. However, disagreements persist on numerous issues, including U.S. restrictions on China’s access to advanced AI chips and related manufacturing equipment.

The tensions surrounding AI are expected to feature prominently when Presidents Trump and Xi meet next month during the Asia-Pacific Economic Cooperation summit in Shenzhen, China. Their last meeting occurred in September during Xi’s state visit to Washington.

Meanwhile, Beijing has dismissed U.S. allegations that Chinese startups like DeepSeek have engaged in large-scale extraction of capabilities from leading American AI models. China has also introduced export control proposals for advanced AI technologies, reflecting its own efforts to regulate the evolving sector amid the geopolitical rivalry. DeepSeek had not responded to requests for comment at the time of reporting.