Calling a search engine AI seems a little strange.
>violates international norms
The international norm (Microsoft, Apple, every other big company) is to obey China's command.
> Google shut out privacy and security teams from evaluating project Dragonfly.
From the article it sounds like that happened in 2017, before the AI principles existed.
>would make it impossible for Chinese users to use Google to find information about this very controversy
It wouldn't make it impossible, it's already impossible. (Assuming you don't use a VPN.)
> The (user) benefits do not substantially outweight the potential for grave harm
What grave harm would be caused that doesn't already exist?