Trump administration reportedly drafting ban on Chinese transceivers

The Trump administration is reportedly drafting a ban on imports of new models of Chinese data centre components as it seeks to protect the infrastructure that undergrids the AI boom.

The Federal Communications Commission is working on the measure to bar imports of new Chinese optical transceivers that sources told Reuters could come into effect later this year.

The move is purported to prevent Chinese firms from taking data, installing malware or disrupting service at US data centres that house the chips to train and run AI models.

The White House and the FCC did not respond to requests for Comment.

The Chinese embassy in Washington says Beijing urges the US to "stop smearing Chinese companies and threatening them with sanctions."

The measures could have negative impact on Chinese companies such as Zhongji Innolight, which is on the

Pentagon's list of alleged Chinese military-backed companies in June.