China's Ministry of Commerce (MofCom) has consulted domestic AI and semiconductor companies, including Alibaba, ByteDance, and Zhipu, on measures to keep critical AI technologies within China and prevent transfers abroad. Proposals include limiting transfers of AI training data, restricting foreign users from downloading model weights, and prohibiting Chinese chip designers from using foreign fabs like TSMC. The government is also considering tighter controls over foreign acquisitions of strategic technology companies, specifically mentioning agentic AI firms.