#33 Asia AI Policy Monitor
South Korea Enforcement of AI Act; China's Nvidia Anti-monopoly Action; Indian AI Copyright Insurance; Japan holds first AI Strategy HQ Meeting, and MORE!
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Legislation
South Korea announced the enforcement decree for the AI Basic Act.
Planning and Coordination
Mid- to long-term national science and technology goals (≥5 years) must reflect trends, social change, and R&D capacity.
Experts, corporations, universities, and civic groups must be included in policymaking.
Minister of Science and ICT coordinates across ministries; oversight by Presidential Advisory Council.
Funding and Promotion
Science and Technology Promotion Fund supports universities, institutes, enterprises, and cooperation, with transparent accounting.
Government sets annual and multi-year R&D investment targets to ensure balanced support.
Research Institutes and Human Resources
Government-funded research institutes evaluated for efficiency, mission alignment, and outcomes.
Registration and preferential support system established for scientists and engineers.
Evaluation and Regulation
Annual performance evaluations of policies and projects guide budget and policy changes.
Annual regulatory review to reduce barriers to innovation and commercialization.
Intellectual Property
South Korea’s President also presided over the Strategic Meeting on Core Regulation Rationalization, including stepping in to clarify critical issues affecting AI and IP [further details in the Governance Section].
-Establishment of 'Fair Use Guidelines' (until November 2025) and expedited revision of related laws and regulations
-Establish a reasonable transaction and compensation system for data with clear copyright (until 2025)
The Saudi IP Authority issued a fine in an AI copyright case.
Saudi Arabia has imposed a SR9,000 fine on a man found guilty of violating copyright law after he modified a personal photograph using artificial intelligence and republished it without the original owner’s consent, the Saudi Authority for Intellectual Property (SAIP) announced.
The case marks one of the first publicly reported penalties in the Kingdom involving the misuse of AI technologies in a copyright context.
Indian firms are increasingly taking out AI copyright insurance.
To cover this risk, Indian businesses are increasingly taking out IP and copyright insurance. Policies are designed to cover a range of scenarios, from defending infringement claims to enforcing one’s own IP rights. A company that is found to be using copyrighted content without permission can incur enormous amounts on legal fees even if the complaint is later dismissed. Copyright insurance steps in to cover such fees, including court fees, settlements, and damages. It also provides protection against infringement on a company’s own IP, including reimbursement for enforcement costs like cease-and-desist letters or litigation. Where patents or copyrights are contested or invalidated, some policies also give compensation for the loss of asset value that occurs.
Privacy
South Korea’s privacy regulator updated its guidance for public sector use of AI.
First, with regard to 'learning and development of artificial intelligence systems,' we reviewed ① whether a proper legal basis is secured when processing personal information, ② whether sensitive information or information on children under the age of 14 is not unnecessarily included, and ③ whether the retention and destruction of data for AI learning are clearly stipulated.
Next, regarding the ‘operation and management of artificial intelligence systems,’ the main evaluation criteria presented were ① clarifying responsibilities between AI development and operation entities, ② providing an Acceptable Use Policy (AUP)* when providing generative AI services, and ③ establishing and implementing measures to guarantee the rights of information subjects, such as establishing a reporting function for inappropriate responses from generative AI systems and leakage/exposure of personal information.
Military
The Center for Security and Emerging Technology published a report on the Civilian-Military Fusion on AI in China.
China’s efforts to develop AI-related military capabilities have garnered significant interest in the United States. Drawing on 2,857 AI-related defense contract award notices published between January 2023 and December 2024, this report finds that while China’s legacy defense sector players lead AI-related military procurement, an emerging set of nontraditional vendors and research institutions appears to play a consequential role as well.
Cybersecurity & Enforcement
Dubai’s police force conducted a seminar on Deepfakes and legislation.
The discussions focused on two main themes: “Challenges of Deepfake Technology” and “Biometric Rights between Traditional Law and Modern Technology.”
Saif Al Falasi, Director of the Legal Affairs Department, emphasised that the forum reflects Dubai Police’s commitment to keeping pace with legislative developments linked to advanced technologies. He noted that the choice of deepfake technology as the theme highlights the risks posed by its misuse in crimes threatening personal and institutional security.
Singapore’s cybersecurity agency published its 2024 report, including observations on the impact of AI.
How Adversaries Use AI
Enabling Operations: Threat actors experiment with Gemini to enable their operations, which allows them to find productivity gains, but not yet to develop novel capabilities. Currently, they primarily use AI for research, troubleshooting code, and creating and localising content.
Supporting Attack Lifecycle Phases: Advanced persistent threat (APT) actors used Gemini to support several phases of the attack lifecycle. These phases include researching potential infrastructure and free hosting providers, reconnaissance on target organisations, research into vulnerabilities, payload development, and assistance with malicious scripting and evasion techniques.
Content Generation and Translation: Information Operations (IO) actors used Gemini for research; content generation, including developing personas and messaging; translation and localisation; and finding ways to increase their reach.
Experimentation: In general, the GTIG found that threat actors carried out low-effort experimentation by using publicly available jailbreak prompts in unsuccessful attempts to bypass Gemini’s safety controls.
Australia’s Ministry of Communications discusses enforcement against deepfake apps.
Minister for Communications Anika Wells said Australia would work with firms to stamp out “abhorrent technologies” while ensuring “legitimate and consent-based” artificial intelligence (AI) and online tracking services were not adversely affected.
“Abusive technologies are widely and easily accessible and are causing real and irreparable damage now,” Wells said in a statement.
Philippines Cybersecurity Chief discusses deepfake pornography enforcement actions.
The Cybercrime Investigation and Coordinating Center (CICC) on Friday called on lawmakers to come up with legislation against the creation, sharing, distribution, or possession of pornographic materials made through artificial intelligence (AI) technology called “deepfake.”
Governance
Japan held its first meeting of the AI Strategy HQ under its AI Basic Act.
The first pillar is "using AI." It is necessary to create a virtuous cycle in which AI's performance improves and development in Japan advances further by using AI to solve various issues. The use of AI is also advancing domestically, with initiatives beginning to use AI-based nursing robots and monitoring systems to support the health and comfortable daily lives of local elderly people. The government must take the lead in promoting the appropriate use of AI and proactively reform regulations and systems, assuming the utilization of AI.
The second pillar is "Creating AI." To strengthen our domestic AI research and development capabilities, we must promote the development and support of physical AI and AI-based models, while also securing the data centers, power supply, and communications infrastructure that support these. The
Third pillar is "Enhancing the Reliability of AI." To prevent the infringement of the rights and interests of the public for improper purposes or inappropriate methods, it is important to promote research and development based on the AI Act, establish guidelines, and lead the formation of international governance. The
Final pillar is "Collaborating with AI." AI will significantly change the nature of the country, including employment and industry, and it is important to use AI to build a society in which people can be happy. To that end, I ask you to consider the necessary systems, social mechanisms, and approaches to industry and employment, and incorporate them into the Basic Plan. That's all."
India’s National Institute for Transforming India published a report on AI.
Potential AI opportunities for India are presently spread across three levers: 1. Accelerating AI adoption across industries to improve productivity and efficiency, potentially bridging 30–35% of the gap: Higher output, lower costs of goods and services, and improved access for underserved markets. These effects are expected to materialize across both domestic consumption and export markets 2. Transforming R&D, through generative AI, could help India leapfrog into innovationdriven global opportunities, bridging a minimum 20–30% of the gap: Can generate new AI-led market opportunities within traditional industries, support commercialization, reshape legacy value chains, and strengthen long-term competitiveness 3. Innovation in technology services, strengthening India’s reputation as a technology services leader, contributing another 15-20% to the step up: Could drive the development of higher-value solutions and new business models, enhancing India’s competitiveness in the global market
South Korean President presided over a cross ministerial committee on AI.
Public data is made more accessible and more open, with fewer exceptions.
▴ Establishment of 'Civil Servant Exemption Guidelines' (until '25) and 'Innovation Plan for the Operation of the Pseudonymous Information System' (until '25.9)
▴Swift disclosure of public data, including case law and public works, through consultation with relevant organizations, including courts and relevant ministries.
Rationalization of regulations in autonomous mobility and robotics
❶ The use of original video data for autonomous driving learning purposes is permitted.
▴ Swiftly implement special provisions for utilizing original video data in relevant laws within the year.
❷ The test area for autonomous driving pilot operation will be significantly expanded.
▴Expand the scope of pilot operation zone designation from districts and routes to city units, and allow local governments to designate them directly (until 2025).
▴ Expanding government support to expand participation in the autonomous vehicle industry.
❸ Accelerate the use of AI robots in daily life and industrial settings by redesigning regulations.
▴(Example 1: Parking robot) Reorganization of installation location, resident manager, parking space size regulations, etc.
▴(Example 2: Construction robot) Reorganization of safety standards, etc. based on human boarding and control.
2. Promoting corporate growth and rationalizing economic penalties for economic innovation.
▴Revising support systems to support the growth of small and medium-sized enterprises and reviewing regulations by company size.
▴Promoting the rationalization of economic penalties to encourage creative economic activities in the private sector (first plan to be announced in September)
China’s Beijing Internet Court released 8 “typical cases” on AI.
On September 10, 2025, the Beijing Internet Court released eight Typical Cases Involving Artificial Intelligence (涉人工智能典型案例) “to better serve and safeguard the healthy and orderly development of the artificial intelligence industry.” Typical cases in China serve as educational examples, unify legal interpretation, and guide lower courts and the general public. While not legally binding precedents like those in common law systems, these cases provide authoritative guidance in a civil law system where codified statutes are the primary source of law. Note though that these cases are from the Beijing Internet Court and unless designated as Typical by Supreme People’s Court (SPC), as in cases #2 and #8 below, may have limited authority. Nonetheless, the cases provide early insight into Chinese legal thinking on AI and may be “more equal than others” coming from a court in China’s capital.
Malaysia is partnering with a firm to create sharia law-compliant AI.
In a significant step towards islamic values-based artificial intelligence, Zetrix AI Berhad, developer of the world's first Shariah-aligned Large Language Model (LLM) NurAi and the Government of Malaysia, through the Prime Minister's Department (Religious Affairs), today signed a Letter of Intent (LOI) to collaborate on establishing the foremost global framework for Shariah compliance, certification and governance in AI. The ceremony was witnessed by Prime Minister YAB Dato' Seri Anwar Ibrahim.
China’s State Administration of Market Regulation declared Nvidia in violation of its antimonopoly law, amidst trade discussions with the Trump Administration.
Recently, after preliminary investigation, NVIDIA was found to have violated the Anti-Monopoly Law of the People's Republic of China and the Announcement of the State Administration for Market Regulation on the Anti-Monopoly Review Decision of Approving NVIDIA's Acquisition of Equity in Mellanox Technologies Co., Ltd. with Additional Restrictive Conditions. The State Administration for Market Regulation decided to conduct further investigation into it in accordance with the law.
South Korea’s President states his priorities for global AI governance.
Global AI rules more urgent than new UN body, South Korea's Lee says
China’s Cyber Administration published its recent list of genAI (deepsynthesis) service providers.
Social media firms in China begin adherance to strict AI labeling laws.
Chinese social media companies have begun requiring users to classify AI generated content that is uploaded to their services in order to comply with new government legislation. By law, the sites and services now need to apply a watermark or explicit indicator of AI content for users, as well as include metadata for web crawling algorithms to make it clear what was generated by a human and what was not, according to SCMP.
Labor, Human Rights
Australia’s e-Safety Commission issues codes to protect children online, including with AI services.
The eSafety Commissioner has registered new industry-drafted codes which aim to better protect children from a range of harmful and age-inappropriate content, including the clear and present danger posed by mostly unregulated AI-driven companion chatbots.
Many of these chatbots are capable of engaging in sexually explicit conversations with minors, and have been alleged to also encourage suicidal ideation, self-harm and disordered eating.
Rest of World covers the story of a model in China losing work to AI.
Shaeman Liu, a 26-year-old fashion photographer in Hangzhou, said he doubts AI will replace all photography. He believes products advertised with real-life models are more appealing to shoppers.
Model Charline Xu, 24, told Rest of World she currently makes about 1,500 yuan ($210) an hour, and that she’s worried clients using generative AI could cut into her income. She’s prepared to compete. “If [designers using AI] charge 800 yuan, I’ll do 600. If they charge 600, I’ll get down to 500,” Xu joked. “There’s no other way out. I’ll fight till the end.”
Multilateral
Fiji and the EU discuss AI.
Minister for Information Lynda Tabuya held talks with the Ambassador of the European Union to the Pacific, Barbara Plinkert, focusing on cooperation in cybersecurity, digital safety, artificial intelligence, and combating misinformation.
The discussions highlighted strengthening Fiji’s capacity in online safety, data protection, and digital infrastructure, with the EU reaffirming its support for the Ministry of Information’s initiatives.
China hosted the Shanghai Cooperation Organization, including central Asian states, Russia, India, North Korea among others, and issued statements on AI.
Xi said China has invested $84 billion in other SCO countries and pledged support for 10,000 students to join Beijing’s “Luban” vocational education program. He added that the SCO gathering presents an opportunity to chart a new phase of high-quality development and cooperation.
Ahead of his remarks, Xi briefly gathered with Modi and Putin during a photo session with all SCO members.
The UN recently conducted a training in Laos.
Without a doubt, Lao PDR is at a pivotal stage in its digital transformation journey. As a Least Developed Country aspiring to graduate from LDC status in 2026, Laos clearly sees digitalization and AI as critical enablers of inclusive growth.
Lao PDR’s strategic location places it at the heart of the region, facilitating digital connectivity, cross-border integration and participation in regional value chains. Its young and dynamic population – with over 60% under the age of 35 – provides a strong demographic advantage. With internet penetration rising from 39% in 2019 to over 64% in 2023, and with growing exposure to AI applications, Lao PDR has the potential to leapfrog traditional development stages through direct investment in AI-enabled solutions.
Advocacy
Singapore opened a public consultation on the use of genAI in the legal profession until Sept 30.
GenAI presents significant opportunities for legal professionals to enhance productivity and service delivery, offering new approaches to traditional workflows and service delivery models. However, many legal professionals have expressed uncertainty about adopting GenAI due to concerns over hallucinations, client confidentiality, and the lack of technical expertise to implement and manage associated risks.
Indonesia conducted consultations on its AI Road Map and Ethics Guide. Views can be sent here: kerjal.aikita@mail.komdigi.go.id and the documents found here.
The Public Consultation of the White Paper on the National Artificial Intelligence Roadmap and the Draft Guidelines for Artificial Intelligence Ethics is intended to obtain responses and input from relevant stakeholders to enrich the material of the White Paper on the Artificial Intelligence Roadmap and the Draft Guidelines for Artificial Intelligence Ethics, so that a comprehensive and accurate study is produced to support Artificial Intelligence in Indonesia.
Australia’s Productivity Commission is seeking comments on AI including numerous recommendations such as TDM exceptions to the Copyright Act for AI trianing by Sept 15.
India is calling for proposals for the next AI Impact Summit in 2026.
Taiwan’s Fair Trade Commission has comments open for Gen AI and Competition rules until Sept 7.
The Paper specifies the market structure and market characteristics of generative AI, and describes the development of the hardware supply chain, model creation, and the deployment of AI applications in Taiwan. Additionally, the Paper outlines the four primary categories regulated by competition law, including unilaterally abusing market dominance, concerted action, market concentration, false advertising, and other unfair competition practices. Furthermore, the Paper examines the potential competition issues that may arise from generative AI, with specific questions listed in each section, in order to help the public focus on specific issues and provide responses and opinions.
The Asia AI Policy Monitor is the monthly newsletter for Digital Governance Asia, a non-profit organization with staff in Taipei and Seattle. If you are interested in contributing news, analysis, or participating in advocacy to promote Asia’s rights-promoting innovation in AI, please reach out to our secretariat staff at APAC GATES or Seth Hays at seth@apacgates.com.