Monograph

[Sejong Policy Studies 2025-04] Key Issues and Implications of the Second Trump Administration's AI Strategy: Focusing on the AI Action Plan and Executive Orders

Date 2025-10-27 View 1,162

Unlike his first term, President Trump declared from the outset of his second term campaign his intention to announce a distinctly different AI policy from that of the preceding Biden administration, and on his inauguration day of January 23, 2025, revoked the Biden administration's AI executive order within a matter of hours. On the same day, President Trump issued Executive Order 14179, "Removing Barriers to American Leadership in Artificial Intelligence," emphasizing the continuation and reinforcement of American global AI dominance. The executive order directed the preparation of a comprehensive national AI action plan within 180 days, and on July 23, 2025, the AI Action Plan and three accompanying executive orders were announced and signed.

 

The AI Action Plan and the three executive orders not only sharpen the distinction from the preceding Biden administration but also reflect certain differences from the policies of Trump's first term. The three foundational strategic pillars of the Action Plan, namely accelerating AI infrastructure innovation, building infrastructure, and leading international AI diplomacy and security, bear similarity to existing United States strategy, but differ considerably with respect to specific implementation tasks. In contrast to the previous posture of maintaining a delicate balance between deregulation and AI safety, the Action Plan explicitly prioritizes industry, pursuing deregulation as an instrument of innovation. It also establishes considerably detailed plans for data centers and power grids as part of efforts to build core AI infrastructure. With respect to international AI diplomacy and security in particular, the plan maintains the existing policy of strengthening export controls on AI semiconductors while expanding the introduction of export controls on key subsystem components including software and materials. Notably, in contrast to the Trump administration's general aversion to global governance frameworks, it calls for an active role in building international AI governance that reflects American values, a posture that stands apart from the administration's broader orientation. The Action Plan and executive orders are assessed as a significant inflection point in transforming AI strategy from a matter of technology policy alone into a convergence of national security, economic growth, and political ideology.

 

Initial assessments of the Action Plan and executive orders were broadly supportive among stakeholders with respect to AI technology innovation policies and infrastructure development. However, criticism has increasingly been directed at policy proposals that diverge from established United States AI policy and are perceived as more aggressive in nature. Considerable controversy is anticipated going forward on key issues including sovereign AI and technological sovereignty, freedom of expression and prevention of ideological bias, the balance between deregulation and safety, and export controls for securing technological superiority. Should the orientation of United States AI policy spread as a global standard as intended by the Action Plan, those elements of allied and partner nation policies that are poorly aligned with the Action Plan are likely to be regarded as impediments to innovation, resulting in significant constraints on policy implementation. Accordingly, while maintaining core principles of South Korean AI policy such as securing AI technological sovereignty including sovereign AI, South Korea should exercise policy flexibility in the course of bilateral cooperation with the United States and in international deliberations, so as to minimize conflicts between respective policy frameworks. At the early stage of United States norm institutionalization, South Korea should utilize existing and new channels for technology cooperation to advance its policy positions, while simultaneously developing medium and long term strategies and redesigning its AI policy in anticipation of potential shifts in the direction of the Trump administration's AI policy.