UPDATE 1-US Treasury secretary could take on AI czar role, source says

Treasury Secretary ​Scott Bessent could become President Donald ​Trump’s new AI czar, ‌a source familiar ​with the discussions said on Tuesday, as fears grow among lawmakers in Washington about the ‌risks posed by AI technology.

Trump has repeatedly downplayed concerns about AI and argued that additional regulation is unnecessary. Treasury had no immediate comment on Bessent's possible new role, ‌which was first reported by Semafor.

Trump on Saturday said that ‌he plans to appoint a new artificial intelligence adviser, known as an "AI czar," and create an "AI force," though he did not provide details about either initiative or how they would ⁠be ​implemented. Bessent led talks ⁠on Sunday with Chinese Vice Premier He Lifeng in New York ahead of this ⁠week's summit between Trump and Chinese President Xi Jinping in Washington. The talks ​focused heavily on AI.

Bessent told reporters after the talks that Washington had proposed ⁠a new AI safety notification mechanism and a new US-China AI dialogue, with a ⁠particular ​emphasis on national security concerns. Trump previously tapped Bessent, a former hedge fund manager, to play a lead role in a major revamp of ⁠US trade policy, negotiate with Ukraine about critical minerals and temporarily head the Consumer ⁠Financial Protection ⁠Bureau.

He also serves as acting commissioner of the Internal Revenue Service, and his Treasury is leading a push to ‌isolate Iran ‌economically through sanctions and other measures. (Editing ​by Cynthia Osterman)