# China Fires Back at U.S. Security Agencies’ AI Model Distillation Allegations > Source: > Published: 2026-09-09 13:59:22+00:00 **September 9, 2026****Q:** On September 8 U.S. Eastern Time, the U.S. National Security Agency (NSA), Cybersecurity and Infrastructure Security Agency (CISA), and Federal Bureau of Investigation (FBI) jointly issued an advisory accusing Chinese artificial intelligence companies of conducting “industrial-scale” distillation of U.S. models to acquire the capabilities of leading U.S. models, while recommending defensive measures for U.S. companies. What is China’s comment?**A:** We have taken note of the relevant developments. China believes that the U.S. allegations that Chinese AI companies are conducting “industrial-scale” distillation of U.S. models are unfounded both in fact and in law. The U.S. is politicizing and weaponizing distillation, which is a normal technical and commercial practice within the industry, while applying double standards in practice. The advisory is yet another example of the United States pursuing technological hegemony in the field of artificial intelligence, seeking to monopolize computing power, and suppressing competition. China firmly opposes such actions. Distillation is a common practice through which AI models learn from one another and is, in essence, a technologically neutral technique. Model developers around the world, including U.S. companies, use distillation. It can improve the efficiency of model learning and enable more effective utilization of human knowledge. It therefore has positive implications for the development of AI industries around the world, for unlocking the potential of AI technologies, for narrowing development gaps, and for ensuring that developing countries and the broader public can benefit more widely from advances in AI. The U.S. approach represents a typical case of double standards. China encourages open-source development, openness, cooperation and sharing in AI. Chinese open-source models are available to companies around the world, including U.S. companies, facilitating the development of their models. Reports published by U.S. companies on their model development have also disclosed extensive distillation of Chinese models. By contrast, the United States has repeatedly and unilaterally accused Chinese companies of engaging in “industrial-scale” distillation, portraying a common industry practice as a form of attack. This reflects both U.S. anxiety and its double standards. The U.S. approach is also a typical example of using the fight against distillation as a pretext for pursuing industrial monopoly. Having national security agencies issue such an advisory ties the interests of individual companies and capital to national security and uses the coercive power of the state to interfere with normal commercial activities. We have also noted that certain U.S. AI companies have abused their competitive advantages by incorporating sweeping geographic restrictions and other unfair terms into their user agreements. The U.S. allegations concerning distillation appear to provide government backing for such unfair contractual terms. The U.S. approach is a typical example of using state power to preserve technological hegemony and monopolies over computing power while suppressing competition. Since the beginning of this year, the U.S. executive and legislative branches have repeatedly threatened sanctions and other restrictive measures against Chinese companies over alleged distillation activities. Their objective is to suppress competition and preserve U.S. monopolies in computing power and data—seeking a situation in which only the United States wins rather than one in which humanity as a whole benefits. This would turn global AI resources, which should be accessible on an open and equitable basis, into resources monopolized by a small number of companies, while preventing other countries from participating in and broadly sharing the benefits of AI innovation. The large-model industry is currently at a critical stage characterized by rapid technological iteration, emerging risks and continued development. As major countries, China and the United States should address the challenges and risks facing artificial intelligence in a positive and responsible manner. The two heads of state have agreed to establish an intergovernmental dialogue on artificial intelligence. China is willing to engage in constructive and professional discussions with the United States through dialogue on the basis of equality, mutual benefit and win-win cooperation. However, if the United States uses combating distillation as a pretext to take actions aimed at containing and suppressing Chinese AI companies, China will resolutely take countermeasures. We hope the United States will work with China in the same direction, manage risks through dialogue and communication, and promote the development of an AI industry that benefits the world. [China’s Foreign Ministry Responds to U.S. Allegations of AI Model Distillation](https://www.fmprc.gov.cn/fyrbt_673021/202609/t20260909_12019125.shtml) **AFP:** Yesterday, the U.S. Cybersecurity and Infrastructure Security Agency accused leading Chinese artificial intelligence companies, including DeepSeek and Moonshot AI, of stealing technology from U.S. large models, describing this as a “core” strategy of Chinese AI companies. What is the Foreign Ministry’s comment? **Mao Ning:** The development of artificial intelligence in China is the result of the country’s pursuit of greater self-reliance and strength in science and technology. It has also benefited from China’s consistent commitment to the principles of extensive consultation, joint contribution and shared benefits, as well as openness and cooperation. We have always maintained that countries should work together to promote the open, inclusive and responsible development of artificial intelligence, ensure that its benefits are broadly shared, and harness AI for the well-being of all humanity. We hope the United States will earnestly implement the important common understandings reached by the two heads of state and refrain from making unfounded accusations against China or smearing the country. China and the United States are both major AI powers and should strengthen cooperation.