Trump official urges Asia to reject Europe’s ‘over-regulation’ of AI
White House technology adviser Michael Kratsios has issued a strong appeal to Asian nations, urging them to embrace the United States’ model for artificial intelligence (AI) development and governance, while cautioning against what he termed Europe’s “over-regulation” of the burgeoning technology. The call, made on Tuesday, August 5, 2025, from Incheon, South Korea, on the sidelines of the Asia-Pacific Economic Cooperation (APEC) 2025 Digital and AI Ministerial Meeting, underscores a growing geopolitical contest over the future of global AI standards.
Kratsios, serving as the Director of the White House Office of Science and Technology Policy (OSTP) under the Trump administration, emphasized that the U.S. approach prioritizes innovation and market-driven solutions, presenting it as a clear alternative to Europe’s more stringent, “precautionary principle-driven mode of AI regulation.” His remarks align with the recently unveiled “U.S. AI Action Plan” on July 23, 2025, which aims to solidify American leadership in AI by dismantling regulatory barriers, boosting investment in AI infrastructure and talent, and asserting its influence in international AI markets. The plan explicitly seeks to promote the global adoption of American-developed AI technologies and standards, advocating for the export of the “full AI technology stack — hardware, models, software applications and standards — to all countries willing to join America’s AI alliance.” The Trump administration views European regulations as potentially stifling innovation and has even characterized them as a “form of taxation” on American companies. Kratsios has also pushed for a “single federal standard” for AI within the U.S., advocating for Congress to preempt a potential “patchwork of state regs.”
Conversely, the European Union has positioned itself as a global pioneer in AI regulation with its comprehensive AI Act. The Act, which officially entered into force on August 1, 2024, saw its crucial rules for General-Purpose AI (GPAI) models become legally enforceable from August 2, 2025. This landmark legislation mandates transparency, includes copyright-related provisions, and requires providers to assess and mitigate systemic risks, particularly for high-impact models. The EU’s framework is characterized by a structured, comprehensive approach focused on ensuring safety, ethics, and accountability in AI systems, with significant fines of up to €35 million or 7% of global turnover for non-compliance. This contrasts sharply with the U.S.'s more flexible, principles-based strategy.
Kratsios’s active engagement in Asia, including his meeting with South Korean Science Minister Bae Kyung-hoon to discuss AI cooperation ahead of an upcoming bilateral summit between President Trump and President Lee Jae Myung, highlights the strategic importance of the region in the global AI landscape. The U.S. AI Action Plan, for instance, specifically identifies partners like India as crucial for its AI strategy, viewing AI exports as a “geopolitical lever” and promoting open-source AI as a tool for “global soft power.” As Asian nations increasingly invest in and adopt AI technologies, they find themselves at a critical juncture, navigating the divergent regulatory philosophies championed by the world’s leading economic blocs. The choices made by these countries will significantly influence the trajectory of global AI governance, shaping whether the future of artificial intelligence is guided by a focus on unfettered innovation or comprehensive regulatory oversight.