The Chinese government is drafting new laws to extend its legal jurisdiction over the development, export, and use of artificial intelligence technology worldwide [1].

This move signals a shift toward aggressive extraterritoriality, potentially forcing global firms to comply with Chinese regulatory standards if they use Chinese data or partner with Chinese companies.

The proposed legislation aims to tighten state control over AI flows to protect national security interests [1]. By establishing these rules, the state intends to ensure its regulatory standards apply wherever Chinese firms operate or where Chinese data is processed [1]. This effort follows a period of what some observers describe as legal improvisation regarding the management of emerging technologies.

"If the saga had an air of legal improvisation, the Chinese government is now working on laws that give it more control over flows of AI technology," The Economist said [1].

The push for tighter oversight comes as international observers monitor the intersection of state power and AI capabilities. Recent reports indicate a trend of AI integration within cyber operations. Researchers said that state-linked groups in China are increasingly using AI in cyberattacks, specifically utilizing open-weight models such as DeepSeek and Kimi K3 [2].

These legislative drafts target not only state-owned enterprises but also private AI founders, including those behind platforms like Manus [1]. The state seeks to maintain a long arm over the technology's lifecycle, from the initial research phase to the final export of the software.

While the laws are still in the drafting phase this month, the intended reach is global. The legislation would allow the Chinese state to penalize entities outside its borders that violate these new AI standards [1].

“The Chinese government is now working on laws that give it more control over flows of AI technology.”

This legislative push represents an attempt by China to export its domestic governance model for AI to the global stage. By asserting jurisdiction over any AI flow involving Chinese assets, Beijing is creating a regulatory perimeter that could force international companies to choose between accessing the Chinese market and adhering to Western AI safety and transparency standards.