U.S. Senator Proposes Chip Security Bill to Prevent AI Tech Smuggling to China

In a move to tighten control over advanced technology exports, U.S. Senator Tom Cotton has introduced a new bill aimed at stopping unauthorized transfers of powerful AI chips to countries like China.

The proposed legislation, called the Chip Security Act, would require companies exporting AI chips and related products to install built-in location tracking systems. These mechanisms would help detect if the chips are diverted, smuggled, or tampered with after leaving the U.S.

Under the bill, exporters would also be legally required to report any such suspicious activity to the U.S. Department of Commerce. The goal is to strengthen oversight and prevent foreign militaries—particularly China’s—from gaining access to cutting-edge U.S. technology.

The bill comes amid growing concerns over reports that restricted chips from companies like Nvidia have been making their way into China through unauthorized channels. The legislation also tasks the Commerce and Defense Departments with exploring additional safeguards within a year of the bill becoming law.

A similar bill is expected to be introduced in the U.S. House of Representatives, signaling strong bipartisan support for protecting America’s technological edge.