Trump cancels planned AI executive order, citing concerns it could undermine U.S. technological advantage

President Donald Trump called off an executive order on artificial intelligence hours before a scheduled White House ceremony Thursday, stating he was worried the measure could weaken America's competitive position. Trump told reporters: "We're leading China, we're leading everybody, and I don't want to do anything that's going to get in the way of that lead."

The order's cancellation follows a Treasury Department meeting in April where Treasury Secretary Scott Bessent and Federal Reserve Chair Jerome Powell warned Wall Street CEOs about cybersecurity risks posed by Anthropic's Claude Mythos model. The administration has faced competing pressures: promoting innovation while also addressing concerns about AI's impact on jobs, electricity use, and American life.

Vice President JD Vance stated the administration is taking a collaborative approach with tech companies, saying "The president wants us to be pro-innovation. He wants us to win the AI race against all other countries in the world," while also committing to protect people from security and privacy threats.