Top researchers at private Chinese AI companies are being asked to surrender passports, in a quiet expansion of the controls that began at DeepSeek earlier this year.
The first publicly reported case came in March, when DeepSeek staff began surrendering passports shortly after the lab’s R1 model briefly upended assumptions about how much compute Chinese frontier labs needed to match Silicon Valley benchmarks.
The Wall Street Journal reported around the same time that Chinese authorities had begun warning top AI entrepreneurs against US travel, citing fears that researchers could leak sensitive technical information abroad, that American companies could acquire valuable IP, or that executives could be detained as diplomatic leverage.
What is new in this week’s Bloomberg account is the scope. The controls now reach further into the wider private-sector AI population, beyond DeepSeek and beyond the immediate post-R1 panic.
The travel curbs sit alongside a tightening regime on the financial side. In late April, China’s National Development and Reform Commission and several other agencies told leading AI firms, including Moonshot AI, StepFun and ByteDance, to reject US-origin capital in upcoming funding rounds unless they receive prior clearance.
Several Chinese AI startups, including Moonshot, are considering corporate reincorporation from overseas jurisdictions back into mainland China after Beijing’s blocking of Meta’s $2bn acquisition of Manus and signals that offshore-incorporated entities will face harder domestic IPO approvals. The intent is, by now, hard to misread: capital, talent and corporate domicile are all to be pulled back inside Chinese borders.
The technical case for Beijing’s urgency is on display in the public benchmarks. Stanford’s 2026 AI Index put the gap between the best US and Chinese models at 2.7%, down from 17.5 to 31.6 percentage points in mid-2023. China now files 69.7% of global AI patents, produces 23.2% of global AI publications and installs industrial robots at nine times the US rate.
AI-talent migration to the US has dropped 89% since 2017. The combination of a narrowing capability gap and a steady inward concentration of talent is the context in which the passport policy makes sense to Beijing.
The policy is not without cost. The passport requirement is, in practice, an exit ban applied informally and without judicial review, and it complicates international collaboration that has historically been a strength of Chinese academic AI work. Whether private-sector researchers will accept the trade-off remains to be tested.
The travel controls are easier to impose than to enforce, particularly as the affected population grows from a handful of DeepSeek staff to several thousand researchers across the wider Chinese AI ecosystem.
Neither DeepSeek nor Moonshot AI had commented publicly on the latest expansion by Tuesday evening Beijing time.
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