Saudi Arabia would divest from China if the U.S. asked it to do so, the head of country's new investment fund for semiconductor and artificial intelligence technology said. "So far, the requests have been to keep manufacturing and supply chains completely separate, but if the partnerships with China would become a problem for the U.S., we will divest," said Amit Midha, the chief executive officer of Alat, an investment firm backed by 100 billion in capital from the Public Investment Fund. U.S. officials have told their Saudi Arabian counterparts that they need to choose between Chinese and American technology as they aim to build out the Saudi Arabian semiconductor industry, Bloomberg has reported, as part of ongoing talks on a range of national security issues.

While the governments of the United States and China are pushing policies for technological decoupling, private tech firms continue to tap resources from both sides. In the field of autonomous vehicles, it's common to see Chinese startups -- or startups with a strong Chinese link -- keep operations and seek investments in both countries. But as these companies mature and expand globally, their ties to China also come under increasing scrutiny. When TuSimple, a self-driving truck company headquartered in San Diego, filed for an initial public offering on Nasdaq this week, its prospectus flagged a regulatory risk due to its Chinese funding source. On March 1, the Committee on Foreign Investment in the United States (CFIUS) requested a written notice from TuSimple regarding an investment by Sun Dream, an affiliate of Sina Corporation, which runs China's biggest microblogging platform Sina Weibo.