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At a French Alpine town known for its bottled water rather than high-stakes diplomacy, the leaders of the seven largest and wealthiest democracies will discuss how to solve pressing issues like Ukraine and the Middle East through Wednesday.\u00a0<\/p>\n
But the Evian agenda topics also reflect two interwoven anxieties: the Group of Seven\u2019s dependence on China\u2019s supply chains and reliance on the United States\u2019 AI. The Trump administration\u2019s decision to place export controls on Anthropic\u2019s frontier models Fable 5 and Mythos 5 will be a \u201ckey topic\u201d on the summit\u2019s AI conversation, according to Andrea Renda, research director at the Centre for European Policy Studies who focuses on AI policy.<\/p>\n
\u201cThe other six are quite annoyed and upset by the fact that the U.S. has actually tried to implement this differential treatment in terms of access to Claude Fable 5 for non-U.S. users,\u201d Renda told Fortune, saying it\u2019s \u201cinaugurating an era\u201d of weaponizing U.S AI against traditional allies.\u00a0<\/p>\n
While OpenAI\u2019s Sam Altman, Anthropic\u2019s Dario Amodei, and Meta\u2019s Alex Wang are among the 11 AI CEOs attending the summit, it\u2019s unlikely the leaders of France, Britain, Canada, Germany, Italy, Japan, and the European Union can actually deliver the summit\u2019s goals to align on AI because of the U.S. and China.<\/p>\n
\u201cG7 pledges to adopt a more inclusive approach for AI, with steps towards developing economies, are unlikely to garner much (if any) interest from the U.S.,\u201d Agathe Demerais, senior policy fellow at the European Council on Foreign Relations, told Fortune in an emailed statement. \u201cThis reflects the fact that the two leading AI powers are the U.S. and China, with not much space for other G7 economies to play a driving role here.\u201d<\/p>\n
China is not attending the G7 summit, though Bloomberg reported French president Emmanuel Macron considered inviting Xi Jinping in November, but participated in an \u201cunprecedented\u201d call with Macron ahead of the G7, signaling China\u2019s status in the G7 discussion, according to Alisha Chhangani, an associate director at the Atlantic Council\u2019s GeoEconomics Center.<\/p>\n
But this was also Macron\u2019s effort to leverage the U.S.-China rivalry as Europe finds itself squeezed between the threat of export controls on AI from one side and critical minerals on the other.\u00a0<\/p>\n
\u201cIt\u2019s really Macron making China the elephant in the room in an effort to show the U.S. that there are other countries that they can work with,\u201d Matt Pearl, the director of the Strategic Technologies Program at the Center for Strategic and International Studies, told Fortune. \u201cIt\u2019s his effort to play China off of the U.S., and to make the Trump administration aware of that in order to create some leverage.\u201d<\/p>\n
The U.S. and China control 90% of global computing power and attract most AI investment, and nearly eight in 10 AI companies started last year in the G7 were based in the U.S., according to Stanford\u2019s 2026 AI Index report.<\/p>\n<\/p>\n
But another dependency issue for the G7 is on Chinese manufacturing, which the agenda\u2019s theme of \u201creducing global imbalances\u201d is actually hinting at \u201cin a diplomatic or a nice way\u201d, according to Chhangani.\u00a0<\/p>\n
\u201cThe focus of the imbalances has been the China question, the industrial overcapacity question, and trade deficits,\u201d Chhangani told Fortune. \u201cChina is the elephant in the room. The U.S. has been talking about this issue for so many years and Europe is a little bit new to it.\u201d<\/p>\n
China\u2019s control of the critical minerals that underpin green energy technologies is creating a dependence that can \u201cfuel protectionist policies\u201d and \u201cheighten national security concerns\u201d among U.S. allies, according to the memo prepared for the G7 by a group of leading economists. But the question of which of the two dependencies\u2014on the U.S. for the software making up AI infrastructure and on China for the physical layer underpinning AI and clean energy\u2014is more important to solve is a hard one to answer for Europe, Pearl said.<\/p>\n
\u201cIf they suddenly lacked critical minerals from China or suddenly had their supply chains for the environmental transition interrupted, that would be pretty catastrophic, and I think similarly on AI models,\u201d Pearl said. \u201cI think they feel like they need to solve both of them.\u201d<\/p>\n
#Making #China #elephant #room #confronts #reliance #U.S #Chinese #minerals<\/p>\n","protected":false},"excerpt":{"rendered":"
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