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AI Semiconductor Export Controls and the Fragility of U.S. Power

In March 2025, CSIS issued a study with a sterile title: Understanding U.S. Allies’ Current Legal Authority to Implement AI and Semiconductor Export Controls. Behind the legal vocabulary lies an unmistakable confession. Washington knows its grand design of AI semiconductor export controls rests on fragile pillars. The empire of rules depends on allies whose legal codes are relics, whose enforcement drags, and whose sovereignty resists being folded into American order.

Export controls have become the new catechism of the Anglo-American empire. They masquerade as technical adjustments yet function as edicts of hierarchy. A chip, once a commodity, is transformed into a passport checked at every border crossing of the global supply chain. The report is less a study than an obituary of confidence. The architects of control expose their fear: a system designed to dominate is leaking through its own cracks.

Washington’s Confession Written in Legalese

The authors map out the arsenal of American restrictions: the swollen Foreign Direct Product Rule (FDPR), the newly minted AI Diffusion Framework 2025, the ever-expanding Entity List. This is not regulation but imperial cartography. Washington redraws the borders of legality to stretch across oceans, declaring every circuit etched with American machinery part of its dominion.

CSIS admits the fragility of this design. The European Union, Japan, South Korea, the Netherlands, Taiwan — none possess the same machinery of control. Their frameworks are still chained to multilateral relics from the Cold War. The tempo is glacial. Rules move slowly while Beijing’s factories hum. What the U.S. calls a strategy reads more like an anxious litany: write new rules, then plead with allies to copy them. The study itself is testimony that empire cannot rely on persuasion alone.

Imperial Engineering in the Age of Silicon

Export controls operate as instruments of conquest dressed in trade language. The empire declares universality: if a chip is touched by American design, it belongs to Washington’s jurisdiction. This is AI semiconductor export control as theology, not law. It is less about security than about sanctifying monopoly.

Yet the edifice cracks where allies hesitate. CSIS describes the pauses, the bureaucratic delays, the months in which the Netherlands or Japan allowed China to import billions in semiconductor machinery. The empire writes decrees, but enforcement trickles. Stockpiles rise in Shanghai while Washington holds press conferences. The architecture resembles a dam with holes bored through by the very allies meant to fortify it. The spectacle of a “chip curtain” lowering across Asia looks less like strength and more like a performance of desperation.

China Holds the Mirror

Beijing studied the imperial catechism and began writing its own scripture. Since 2020, China has enacted laws with a speed that mocks the procedural debates of U.S. allies. The Unreliable Entities List, the catch-all clauses, the mirrored Entity List — each one a reflection of American invention. CSIS treats this as a footnote. In truth, it is the central drama: the student absorbs the master’s discipline and wields it against him.

The empire expands its rules, and China replies with its own labyrinth. The United States proclaims extraterritoriality, and China asserts the same logic through its national security vocabulary. Sovereignty in Beijing’s hands is no longer passive. It is the art of adaptation, the transformation of imported mechanisms into instruments of counter-power. Washington once exported products. Now it exports the very legal architecture of control, which returns as a mirror held up to its face.

Allies as Cracked Pillars of Empire

The CSIS text lingers on the allies, as if cataloguing weak links in a chain the empire forged for itself. The European Union drifts between committees, issuing statements while real enforcement evaporates into national disputes. The Netherlands and Japan eventually aligned with Washington, but the delay was measured not in days but in shipments. Chinese companies filled their warehouses during those pauses. AI semiconductor export controls were drafted in Washington and eroded in Amsterdam and Tokyo.

South Korea and Taiwan, the very heart of global foundries, also refuse to play the role of prefects. Their laws grant only narrow licensing authority. They cannot conjure an FDPR or maintain a true Entity List. Washington cajoles, yet cajoling is not sovereignty. Each jurisdiction becomes its own loophole. CSIS writes of coordination, but the prose drips with unease. The empire depends on allies that refuse to dissolve their own autonomy into its command. This quiet resistance mirrors the wider regional drift, where states like India and the Philippines patrol contested waters without Washington’s hand on the rudder.

The Fragility of an Overstretched Perimeter

The weakness lies naked in the architecture itself. Washington extends its perimeter endlessly, declaring that every chip touched by U.S. tools is subject to its edicts. On paper the empire rules all. In practice, it governs little beyond its borders. The FDPR is a legal incantation, not a guarantee of compliance.

CSIS shows the fault lines. Japan granted licenses that softened the ban. Dutch controls covered only a slice of technologies, leaving others free to flow. Fragmentation is not an accident — it is the stubborn persistence of sovereignties that will not be annexed by decree. The system strains under its own ambition. The more Washington multiplies its lists and frameworks, the more evident its dependence on hesitant allies becomes.

Meanwhile Beijing does not wait. Its laws invoke “national security and national interests,” elastic words that stretch to cover whatever the moment demands. There is no committee vote, no bureaucratic pause. Rules appear overnight, effective by dawn. CSIS avoids the conclusion, but the reader cannot. The empire has built a cathedral of controls more fragile than the fortress it imagines.

The Empire Stares into Its Own Reflection

The CSIS report is a confession disguised as analysis. It exposes the hollowness of AI semiconductor export controls that claim universality yet depend on the uneven will of allies. The system is only as strong as the most reluctant participant, and reluctance is abundant. Europe hesitates, Asia calculates, sovereignty slips through the cracks of the empire’s paperwork.

China, by contrast, has absorbed the empire’s method. The gaps in U.S. allies’ export control regimes are documented as vulnerabilities, but the deeper truth is that Washington has exported its own legal machinery. Beijing mirrors it, adapts it, and redeploys it. AI semiconductor export controls, conceived as a tool of domination, now stand as a monument to imperial overreach.

This is the irony that bleeds through the CSIS prose: the Anglo-American order designed its own reflection, and that reflection now looks back from Beijing. Sovereignty in Asia is not declared. It is practiced in the silent warehouses of stockpiled machines, in the swift decrees of mirrored lists, in the refusal of allies to act as prefects of empire. The report tries to measure law. It ends up measuring decline.