Embracing the controversial technology might help retailer Pop Mart adapt the fad before it fizzles, but the cultural consequences in the U.S. could be dire.

China's top leadership has recently pledged to curb "involutionary" competition amid intense price wars in the country.

But the fact that America or China will win this contest should not turn other countries into mere spectators. Even more important for their economies and societies is the other AI race, the one for “everyday AI ”: the deployment and diffusion of the technology across the whole of the nation.

ASML Holding NV Chief Financial Officer Roger Dassen said it will be positive for chip demand if Washington lifts restrictions on the sale of some artificial intelligence processors to China.

The US has given chipmakers like Nvidia and AMD the opportunity to sell their chips to China again. Derrick Irwin, portfolio manager at Allspring Global Investments, says the US may have retain some dominance,

China has invested billions into its artificial intelligence ambitions, aiming to be a leader in the global tech landscape. At the Beyond Expo in Macao, CNN’s Kristie Lu Stout explores the country’s latest breakthroughs and its growing influence in the world of AI.

The rollout is expected to include pushing for speedier permitting for data center buildouts and promoting US tech exports.

Critics have slammed the White House's anticipated move to loosen AI chip exports as ceding leverage to the U.S. rival.