USCBC Responds to Proposed Rulemaking Implementing EO 13984

Comments urge the Bureau of Industry and Security (BIS) to work with industry to avoid harming US competitiveness globally

WASHINGTON—May 7, 2024—The US-China Business Council (USCBC), a private, nonpartisan, nonprofit organization of 270 American companies that do business in China, last week responded to the Department of Commerce’s notice of proposed rulemaking implementing Executive Order 13984, Taking Additional Steps to Address the National Emergency with Respect to Significant Malicious Cyber-Enabled Activities.

USCBC reiterated its members’ support for secure infrastructure services and raised concerns that the proposed reporting requirements for AI models and customer verification procedures may place American companies at odds with other contractual and legal obligations.

Additionally, USCBC argues that the proposed rule is not only unlikely to prevent or deter malicious cyber actors, it may also place American cloud service providers at a disadvantage with firms from other countries that do not face similar restrictions.

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