A new bill aims to close loopholes and stop U.S. AI technology from strengthening China’s military and surveillance systems.
In a rare show of unity, lawmakers from both Republican and Democratic parties have come together to introduce the Chip Security Act. The bill seeks to stop advanced U.S.-made AI chips from reaching foreign adversaries, particularly the Chinese Communist Party (CCP).
According to the Select Committee on the Chinese Communist Party (SCCCP), this move responds to serious concerns that American chips are being smuggled into China through front companies.
Response to Security Breaches
The bill was introduced by House Select Committee on China Chairman John Moolenaar (R-MI), Ranking Member Raja Krishnamoorthi (D-IL), and six other representatives. They acted after findings from the Committee’s DeepSeek report showed how U.S. chips are making their way into China, powering its military tech and domestic surveillance network.
Chairman Moolenaar said, “For too long, the Chinese Communist Party has exploited holes in our export controls to secretly acquire U.S. technology used to fuel its military aggression and domestic repression.” He added that the new bill would “shut those loopholes and help protect both our national security and our technological edge.”
What the Bill Proposes
The Chip Security Act includes several strong measures:
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Location Verification – It will require AI chip shipments to verify their delivery destination, helping stop illegal transfers to China or other hostile nations.
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Mandatory Reporting – Chip manufacturers must report any suspicious orders or signs of diversion.
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Tighter Oversight – The Commerce Department will be directed to study and apply stronger measures to prevent tech theft.
A Wider Concern: U.S. Innovation Being Misused
The SCCCP stated that both parties worry that American innovation is being turned into a weapon by the CCP. It noted that U.S.-origin chips are powering China’s growing AI surveillance state, which it uses to suppress dissent in regions like Xinjiang and Hong Kong.
Companion Bill in Senate
Meanwhile, Senator Tom Cotton (R-AR) has introduced a similar bill in the U.S. Senate. Together, both versions aim to ensure that American-made chips do not fall into the wrong hands.
Protecting Jobs, Security, and Values
The SCCCP emphasized that the bill would do more than just secure national interests. It would also:
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Protect U.S. military personnel from facing AI-driven weapons in future conflicts.
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Preserve high-paying American tech jobs by ensuring secure supply chains.
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Stop American technology from supporting authoritarian regimes.
In a strong statement, the SCCCP declared, “The CCP’s abuse of U.S. innovation must end. American technology should never be a tool of tyranny.”