# People’s Daily rejects US claims of malicious AI distillation, warns of countermeasures > Source: > Published: 2026-09-16 09:35:08+00:00 # People’s Daily rejects US claims of malicious AI distillation, warns of countermeasures Beijing vows to take action if Washington tries to contain China’s firms, as tensions over advanced AI systems heat up before expected Xi-Trump meeting [Minxiao Chang](https://www.scmp.com/author/minxiao-chang)in Shenzhen China’s ruling Communist Party mouthpiece has rejected US allegations that Chinese artificial intelligence companies conducted “industrial-scale” distillation of American frontier models, warning that Beijing would respond if Washington continued to suppress China’s AI industry. In a commentary published on Wednesday, People’s Daily said the US claims were “without factual or legal basis” and accused Washington of “politicising” a normal technical and commercial practice. The strong stance came just a week before an expected meeting between President Xi Jinping and US President Donald Trump on September 24, where AI may emerge as a key point of dialogue. The newspaper called for the two sides to “work towards a common goal, and manage risks through dialogue and communication”, and it warned that Beijing would take “countermeasures” if Washington used the allegations as a pretext to contain Chinese companies.