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U.S. AI Action Plan Leans on Deregulation to Secure Global Tech Lead

U.S. AI Action Plan Leans on Deregulation to Secure Global Tech Lead

emman omwanda by emman omwanda
July 24, 2025
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U.S. President Donald Trump unveiled a sweeping strategy aimed at accelerating innovation, deregulating development, and outpacing global competitors. The new AI action plan positions the United States at the forefront of the global AI race, presenting a low-regulation framework that aligns government policy with the commercial ambitions of the tech sector. Critics, however, warn that the plan sacrifices ethical oversight, environmental protection, and civil rights safeguards in the name of economic supremacy. The plan’s aggressive posture is expected to intensify debates on federal versus state regulatory power and the responsible governance of emerging technologies.

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U.S. dominates global AI network with technology overlay on world map.
The U.S. unveils an AI strategy aimed at global technological leadership.

Washington Leans Into Deregulation to Speed AI Growth

The 28-page “America’s AI Action Plan” released Wednesday outlines more than 90 policy actions organized under three pillars: accelerating innovation, building American AI infrastructure, and leading in international diplomacy and security. During a Washington event, President Trump declared, “America is going to win the AI race,” adding that the initiative marks a technological test “unlike anything since the dawn of the space age.”Trump signed multiple executive orders giving legal weight to portions of the plan, which pledges to remove “red tape and onerous regulations” seen as barriers to private sector advancement. The administration also directed federal agencies to identify and repeal regulations perceived to hinder AI innovation. This includes updating procurement guidelines to require that AI systems used by the government be “objective” and “free from ideological bias.” The plan explicitly opposes diversity, equity, and inclusion frameworks, instead advocating for tools that reflect what it calls “American values.”

Read also:How US AI Regulations in 2025 Will Reshape Startup Growth

The document also proposes sweeping environmental exemptions, calling for fast-tracked permits for data centres, semiconductor facilities, and power plants, particularly coal and nuclear, to meet AI’s energy demands. The administration has rejected mainstream climate science and framed environmental regulation as an impediment to technological growth.According to the plan, a key aspect is to stop individual U.S. states from enforcing their own AI regulations. Trump argued for a single federal standard, saying, “We can’t have 50 states each trying to govern an industry that will define the future.” Critics, including the American Civil Liberties Union, argue that such centralization undermines civil rights efforts at the state level. The ACLU noted this approach could erode protections in sectors like healthcare, education, and employment where AI bias poses documented harms.

The U.S. federal government is removing the AI regulation checklist.

Global Tech Push and State Suppression Draw Scrutiny

AI plans by Trump also involve enhancing the U.S. leadership in the global AI markets. The plan elaborates how the Departments of Commerce and State will collaborate with the private industry to export the so-called full-stack AI solutions, such as hardware, software, and models to the allied countries. The Secretary of State Marco Rubio explained that the policy would help America to become the technological gold standard globally.This export promotion drive is coupled by a national quest to oppose Chinese influence in the global governance arenas. The plan will involve strengthening the export control on muscles of advanced computing technology to reduce access by enemies. The government stressed the importance of AI not only on the economic level but also on military dominance and world domination.

Read also:The Role of Artificial Intelligence in Modern Military Strategy and Defence

The Secretary of State Marco Rubio explained that the policy would help America to become the technological gold standard globally.
The Secretary of State Marco Rubio

People representing the industry expressed support for the purpose of the plan. A senior vice president of IDC Matthew Eastwood called it a major break with the approach seen in the Biden era, saying that its aim is to remove friction for U.S. enterprises. He cautioned though that states and civil rights groups might challenge it legally. Eastwood wrote: in this question, there remains a balance between innovation and oversight that is still not answered.Falk Gottlob, the Chief Product Officer of Smartcat, expressed the enthusiasm about the goals of the initiative but added that it would be important to focus on its implementation. He said, success insists on safe and solid platforms with good governance and operational reality, and strategic vision is not enough without a scalable platform and clarity in policies.

Responsible AI Principles Stripped as Civil Rights Erode

The plan also describes revisions to the AI Risk Management Framework (AI RMF) for National Institute of Standards and Technology (NIST), which removes mentions of misinformation, diversity, equity inclusion, and climate change. Their removal assures protection of the so-called free speech and prevention of ideological bias, the administration said. Bill Wong, AlpThat research fellow of the Info-Tech Research Group, asked the logic. Eradication of concepts such as misinformation is frightening. These comprise the fundamental elements of responsible AI, he adds.The action plan was termed by Samir Jain, the vice president of policy at Center for Democracy & Technology as a missed opportunity. He explained that it lays too much stress on deregulation and delivers too little on public safety and ethics as well as accountability. As he pointed out, there is no good reason to dilute the AI RMF as proposed in the plan and he further explained that the plan was an undercut to the state power to act on the evils recorded as a result of AI.

Read also:U.S. Leads the Global AI Race

According to Jain, he admitted some good parts, such as investments in open-source paradigms and AI assessment tools, but cautioned that they are marred by attempts at destroying guardrails. It encourages innovation at the expense of social responsibility is his conclusion.The proposal made by the Trump administration also reflects on the copyright generating an argument that the developers of AI should be widely immune to claims when training on the copyrighted content. This, trump referred to as a policy of common sense, where he explained, “You can not have a successful AI program when every single book or article that it reads has to be licensed.”Strong condemnation was stated by the environmental and civil society organizations. Describing the plan, Jean Su of the Center for Biological Diversity said: this is nothing but a tainted Gilded Age playbook and the priority here by the administration is corporate money and not the general will. The opponents claim that the plan allows big techs to reduce climate ambition, providing a cloak to evade democratic responsibility.

Critics protest the removal of diversity and ethics guidelines from AI policy.

Strategy’s Future Hinges on Legal, Political, and Public Pushback

The rollout of Trump’s AI strategy marks a pivotal moment in how the U.S. defines its role in global tech leadership. The administration has presented a vision of AI as an economic and military imperative, with minimal regulatory interference. While business sectors welcome the reduction in compliance burdens, civil rights organizations, environmental advocates, and governance watchdogs express grave concern over the long-term societal impacts.

As legal challenges loom and implementation unfolds, the AI Action Plan’s success or failure may shape not just America’s place in the AI race, but also the values that guide the future of machine intelligence

FAQs

What are the main goals of the new U.S. AI strategy?

The U.S. AI strategy focuses on accelerating innovation, building national infrastructure for AI, and asserting global leadership through deregulation and exports.

How does the federal government plan to regulate AI under the new plan?

The plan prioritizes deregulation by removing federal rules seen as barriers to AI development and limiting states from creating their AI-related laws.

Why are civil rights groups concerned about the AI Action Plan?

Groups like the ACLU argue the plan strips essential protections against bias and removes ethical standards tied to diversity, misinformation, and civil liberties.

What industries are likely to be most affected by the U.S. AI Action Plan?

The plan heavily impacts tech, energy, data infrastructure, and public-sector contracting—especially companies dealing in AI models, cloud, and semiconductors.
Tags: AI DeregulationAI RegulationArtificial Intelligence PolicyUS AI Strategy
emman omwanda

emman omwanda

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