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UNANIMOUS: Bipartisan Huizenga Legislation to Curb AI Chip Smuggling Passes Committee

Today, the House Foreign Affairs Committee passed bipartisan legislation, H.R. 3447, the Chip Security Act, introduced by Congressman Bill Huizenga (R-MI). This legislation passed by a unanimous vote of 42-0.

The Chip Security Act requires advanced chip manufacturers to implement technical security measures to detect and prevent smuggling to unauthorized countries and end-users. This legislation responds to ongoing reports of AI chips being smuggled into China, where they are used to power state-controlled AI projects. Despite current export controls, smuggling networks and front companies continue to move U.S.-made chips into restricted countries.

Last week, the Department of Justice filed charges against three individuals for conspiring to violate US national security lase by smuggling billions of dollars of advanced AI chips to China. Additionally, last fall, the Department of Justice announced it has indicted three Chinese nationals for smuggling high-tech chips to China via third party countries like Thailand and Malaysia.

“The Chip Security Act enhances protections on AI chip exports by scaling up best security practices and encouraging innovative technologies,” said Congressman Bill Huizenga, Chairman of House Foreign Affairs South and Central Asia Subcommittee. “This bill directly supports the Trump Administration’s AI action plan recommendations and benefits from both administration technical assistance and industry feedback.”

“If we're going to export advanced AI chips, we need confidence that they don’t end up in the hands of the Chinese military,” said House Foreign Affairs Committee Chairman Brian Mast. “We’re continuously talking about Chinese espionage, Chinese theft, and Chinese diversion over and over again. We can’t allow this to happen.”

“America has the best semiconductors in the world and we must defend our advantage over China, which is actively working to break the law and smuggle American chips. The Chip Security Act will make it harder to steal from us, and it will protect American jobs and industry. This legislation also advances President Trump’s AI Action Plan by implementing location verification and denying our adversaries access to compute power. Thank you to Chairman Mast, Congressman Huizenga, and the House Foreign Affairs Committee for advancing this legislation,” said China Select Committee Chairman John Moolenaar.

The Chip Security Act is led in the Senate by Sen. Tom Cotton (R-AR).

Find out more information about the Chip Security Act, here.