AI Watch: Global Regulatory Tracker – China
As artificial intelligence (AI) continues its rapid evolution, the need for effective regulatory frameworks has become a pressing issue worldwide. The Interim AI Measures represent China’s first specific administrative regulation focused on managing generative AI services. These measures, which took effect on August 15, 2023, aim to ensure a balanced development of AI technologies while safeguarding public interests and national security.
Overview of the AI Regulations
The Cyberspace Administration of China, along with several other key ministries, formulated the Interim Measures for the Management of Generative Artificial Intelligence Services. This regulation seeks to establish guidelines that govern the deployment and use of generative AI technologies across various sectors.
Status of the AI Regulations
The AI Measures came into effect in mid-August 2023, marking a significant milestone in China’s regulatory landscape for AI. These regulations are designed to address the complexities associated with the deployment of AI technologies while promoting a healthy development of the sector.
Other Relevant Laws Affecting AI
In addition to the AI Measures, there are several other laws in China that indirectly impact the development and use of AI:
- Administrative Provisions on Deep Synthesis in Internet-based Information Services (effective January 10, 2023)
- Administrative Provisions on Recommendation Algorithms in Internet-based Information Services (effective March 1, 2022)
- Data-related laws, such as the Cybersecurity Law and the Personal Information Protection Law (PIPL), which impose restrictions on data usage in AI applications.
- Intellectual property laws, including the Copyright Law, that affect AI development and usage.
- The Measures for Review of Scientific and Technological Ethics, which require enterprises to undergo ethical reviews when engaging with AI.
Definition of AI
Currently, China’s laws lack a clear and comprehensive definition of “AI.” Under the AI Measures, generative AI technology refers to systems capable of generating various types of content, including text, images, audio, and video.
Territorial and Sectoral Scope
The AI Measures apply to organizations providing generative AI services within China, regardless of their incorporation location. This broad scope ensures that foreign entities must also comply with local regulations when operating in the Chinese market.
While the AI Measures do not adopt a sector-specific approach, certain industry regulations exist, particularly within the financial, healthcare, and automobile sectors, which have their own specific compliance requirements relating to AI technology.
Key Compliance Roles
Two primary roles are defined under the AI Measures:
- Generative AI service providers: Any organization or individual using generative AI technology to offer services.
- Users of Generative AI services: Organizations or individuals utilizing these services to create content.
Core Issues Addressed by the AI Regulations
The AI Measures aim to:
- Promote the healthy development of generative AI technologies.
- Safeguard national security and public interests.
- Protect the lawful rights and interests of citizens and organizations.
Key Compliance Requirements
Generative AI service providers must adhere to several compliance requirements, including:
- Lawful use: Ensuring the processing of data respects intellectual property rights and obtains necessary consents.
- Data labeling rules: Establishing clear guidelines for labeling AI-generated content to enhance transparency.
- Content moderation: Implementing measures to promptly remove illegal content and ensure compliance with relevant laws.
Regulators and Enforcement Powers
The Cyberspace Administration of China serves as the lead regulator, empowered to conduct security assessments and impose penalties for non-compliance. Violations of the AI Measures can lead to severe penalties, including fines and potential criminal liability for serious offenses.
Conclusion
As the landscape for AI regulation continues to evolve, China’s proactive approach in implementing the Interim AI Measures reflects a commitment to fostering innovation while ensuring public safety and compliance with legal frameworks. Businesses operating in the AI sector must stay informed on these developments to navigate the complexities of compliance and take advantage of emerging opportunities.
