U.S. lawmakers move to stop China from stealing advanced AI chips with bipartisan Chip Security Act

Washington D.C. [US], July 17 (ANI): Lawmakers from both sides of the aisle have introduced the Chip Security Act, a bipartisan effort to block advanced U.S. artificial intelligence (AI) chips from ending up in the hands of adversaries like the Chinese Communist Party (CCP), the Select Committee on the Chinese Communist Party (SCCCP) reported.
The bill was introduced by House Select Committee on China Chairman John Moolenaar (R-MI), Ranking Member Raja Krishnamoorthi (D-IL), and six other lawmakers, in direct response to mounting evidence, including the Committee's DeepSeek report, revealing that U.S.-origin chips have been funnelled into China via shell companies. These chips are allegedly powering Beijing's AI-driven military and surveillance infrastructure, the SCCCP stated.
"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," said Chairman Moolenaar. "This bill shuts those loopholes and helps protect both our national security and our technological edge," he added, according to the SCCCP.
Among its core provisions, the Chip Security Act would:
1. Mandate Location Verification for AI chip shipments to prevent illegal diversion to China and other hostile regimes.
2. Enforce Reporting Requirements for chipmakers who detect any suspicious transactions or diversion attempts.
3. Direct the Commerce Department to study and implement stronger protections against tech theft.
According to the SCCCP, the legislation responds to bipartisan concern that American innovation is being weaponised by the CCP. U.S.-made chips are reportedly being used to develop China's AI-powered surveillance state--tools that Beijing uses to monitor its population and suppress dissent, from Xinjiang to Hong Kong.
A companion bill has been introduced in the Senate by Sen. Tom Cotton (R-AR), the SCCCP confirmed.
The SCCCP emphasised the bill's implications: it protects American service members from potential future conflicts where Chinese AI systems, powered by stolen U.S. chips, could be deployed, safeguards high-paying jobs in the U.S. tech sector, and prevents American technology from fueling authoritarian oppression.
"The CCP's abuse of U.S. innovation must end. American technology should never be a tool of tyranny," the SCCCP warned. (ANI)