U.S. Prohibits Use of China’s DeepSeek AI in Federal Civilian Agencies
The Trump administration has escalated the ongoing U.S.-China tech rivalry by officially prohibiting the use of Chinese artificial intelligence startup, DeepSeek, in all civilian federal government IT systems. The Department of Homeland Security (DHS) disclosed the order on Monday, October 19, 2026.
The directive mandates federal civilian agencies — such as the Department of State, the Department of the Treasury, and the Department of Justice — to eliminate any DeepSeek products and third-party tools developed using DeepSeek’s AI models from their systems. The DHS has expressed grave national security concerns, cautioning that the utilization of DeepSeek AI tools “may result in the transfer of sensitive data” to China if employed by U.S. government employees or vendors.
In addition, the order prohibits federal civilian agencies from acquiring DeepSeek products and services in the future. This move effectively seals a loophole that had previously permitted the entry of DeepSeek-based tools into agencies via third-party vendors.
DeepSeek first made waves in the AI industry in January 2025, introducing a high-performance, low-cost chatbot that questioned the U.S.’s supremacy in artificial intelligence. The U.S. has also accused DeepSeek and other Chinese AI firms of systematically replicating capabilities from advanced American models.
China’s foreign ministry retorted by stating it “consistently opposes the over-generalization of national security” in tech matters. It’s important to note that the DHS ban is applicable to civilian agencies but does not extend to the Department of Defense or intelligence services.
Source: CNBC – U.S. bans DeepSeek from government agency systems amid AI rift with China