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Singapore Urges American Companies to Adhere to Export Controls Amid Deepseek AI Chip Controversy

Singapore’s Trade Ministry Addresses Export Control Compliance

The Ministry of Trade and Industry of Singapore has emphasized the expectation that American enterprises adhere to both U.S. export controls and Singaporean local regulations. This statement follows inquiries regarding the semiconductor supply chain utilized by the Chinese company Deepseek in the development of its artificial intelligence (AI) model.

Notably, the markets experienced significant volatility this week after Deepseek announced that its AI model outperformed OpenAI, while also highlighting a substantially lower training cost compared to its competitor. Concerns were swiftly raised concerning the provenance of the chips deployed in Deepseek’s AI model, particularly due to existing American restrictions on the export of advanced AI chips to China.

Reports indicate that U.S. officials are now investigating whether Deepseek has procured semiconductors from NVIDIA through Singapore channels. In response to these developments, a spokesperson for NVIDIA confirmed that the chips employed by Deepseek are fully compliant with export regulations.

In its recent statement, the Ministry of Trade and Industry asserted: "We expect American companies, such as NVIDIA, to comply with U.S. export controls and our local legislation." Furthermore, it was noted that customs authorities and law enforcement agencies will maintain close collaboration with their U.S. counterparts to ensure adherence to these guidelines.

This situation highlights the ongoing complexities within the global AI landscape and underscores the critical importance of compliance with international trade regulations.

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