Chinese companies engaging in artificial intelligence activities are required to set up internal “AI ethics review committees” under new rules released by Beijing on Thursday, effective immediately.

The notice comes as policymakers look to ensure that fast-paced AI progress can continue in a “healthy” manner amid growing consumer and enterprise adoption.

Jointly released by 10 government bodies and institutions including the Ministry of Industry and Information Technology, National Development and Reform Commission and Chinese Academy of Sciences, the notice calls for the committees to review AI-related activities for their impact on human wellbeing, including the fairness of AI algorithms and whether AI systems are “controllable” and “explainable”.

The rules also apply to universities, research bodies and health institutions.

Beijing introduced a unified science and technology ethics review system in 2023, which required companies and organisations engaged in “high-risk” activities such as developing AI models that “influence social discourse” or involve “highly autonomous decision-making” to conduct ethical reviews before commencing.

However, the system has been criticised for failing to mitigate risks in the fast-evolving AI era due to ambiguity in its operating scope and review standards, as well as the lack of effective enforcement mechanisms.