Flurry of Trump Administration Executive Orders Shakes Up Tech Policy, Creates Industry Opportunities

Since taking office, President Trump has issued dozens of executive orders, many addressing key technology policy areas that include international trade and investment, artificial intelligence (AI), connected vehicles and drones, and trade controls. Some of these executive actions reverse the previous administration’s efforts on these issues—such as the order revoking President Biden’s October 2023 executive order on Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence—and others initiate a formal review process, suggesting the Trump Administration will preserve, and perhaps strengthen or enhance, key tech policies implemented by the Biden Administration and the first Trump term.

Several of the executive actions President Trump has taken so far offer important opportunities for stakeholders to weigh in with Executive Branch agencies as they consider next steps, including whether to revoke, expand, or retain tech policies initiated under President Biden. Key initiatives include:

America First Trade Policy

The President’s America First Trade Policy memorandum, issued on January 20, directs certain federal agencies to review policies issued by the Biden Administration. The memo does not provide specifically for public comment opportunities with respect to these policy reviews, but it provides insight into how the Administration may modify Biden Administration policy actions. We recommend that interested stakeholders engage to share their views with the Administration. Three critical areas in particular will affect stakeholders across tech industries:

• China and Intellectual Property: Section 3(e) of the memo directs the Commerce Secretary to “assess the status of United States intellectual property rights such as patents, copyrights, and trademarks conferred upon PRC persons” and to “make recommendations to ensure reciprocal and balanced treatment of intellectual property rights with the PRC.”
• Connected Vehicles: Section 4(d) of the memo directs the Commerce Secretary to “review and recommend appropriate action with respect to the rulemaking by the Office of Information and Communication Technology and Services (ICTS) on connected vehicles.” The memo specifically directs the Secretary to consider whether ICTS controls should be “expanded to account for additional connected products.”
• Outbound Investment: Section 4(e) of the President’s memo directs the Treasury Secretary, in consultation with the Commerce Secretary, to review whether President Biden’s outbound executive order “should be modified or rescinded and replaced,” and to “assess whether the [Treasury Department outbound investment regulation] includes sufficient controls to address national security threats.” This review dovetails with the President’s America First Investment Policy memo, issued on February 21, which equates U.S. national security and U.S. economic security, and directs agencies to streamline regulatory reviews to promote foreign investment in the United States.

It is clear from the America First Trade Policy that the Trump Administration views investment restrictions, supply chain security, and IP protections as critical to U.S. global technology leadership and is prepared to take aggressive actions in each of these policy areas.

Notably, the outbound investment and connected vehicle (CV) rules were finalized during the Biden Administration following a public notice-and-comment period. The Trump Administration is not considering eliminating these rules, but rather assessing whether the outbound investment regulations are “sufficient . . . to address national security threats” and whether the CV rule should be “expanded” to additional products and technologies. In other words, the Administration’s review of these policies does not suggest a reversal of the Biden-era approach, but an effort to consider whether to further leverage investment and supply chain restrictions to attempt to slow the growth of critical and emerging technologies outside the United States.

The policy reviews under the America First Trade Policy memo must be submitted to the President by April 1, 2025.

AI Diffusion Rule

On January 15, at the end of the Biden Administration, the Commerce Department’s Bureau of Industry and Security (BIS) released its AI Diffusion Framework. Together with a separate interim final rule on Implementation of Additional Due Diligence Measures for Advanced Computing Integrated Circuits, the AI Diffusion Framework, among other things:

• Established a worldwide license requirement for certain advanced chips and related items subject to the Export Administration Regulations, and associated software and technology, as well as for non-public model weights for certain advanced AI models;
• Implemented a three-tiered licensing framework applicable to exports, reexports, and in-country transfers of advanced chips; and
• Created a rebuttable presumption that certain advanced logic chips exported, reexported, or transferred (in-country) by a front-end fabricator or an Outside Semiconductor Assembly and Test (OSAT) company are subject to export controls and designed or marketed for use in datacenters and imposed certain due diligence and reporting requirements on front-end fabricators.

While BIS published the Framework as an interim final rule with immediate effect, the agency also requested public comment on the rule, with comments due on May 15, 2025.

Key Administration Tech Initiatives and Industry Opportunities

If you have any questions concerning the material discussed in this client alert, please contact the members of our Public Policy practice.