US and China race to shape AI agenda ahead of Xi-Trump talks in Shenzhen

The United States and China are engaged in talks to establish a framework for managing AI-related incidents and formalizing bilateral dialogue, according to sources. Technical teams from both nations are working towards making AI cooperation a potential outcome of the upcoming meeting between Presidents Xi Jinping and Donald Trump on the sidelines of the Apec summit in Shenzhen next month. US Treasury Secretary Scott Bessent proposed a new notification system allowing the two countries to alert each other about AI incidents that could impact national security. This proposal was discussed during Bessent's talks with Chinese Vice Premier He Lifeng in New York. Officials from both countries are expected to reconvene in Shenzhen within two months to further these discussions on AI risks and emergency communication protocols. The proposed mechanism represents a limited area of communication despite the broader technological rivalry between the two nations.