US Lawmakers Seek to Lock In AI Chip Curbs on China With New Bill
Bipartisan SAFE Chips Act aims to prevent future administrations from easing export controls on Nvidia and AMD's advanced technology.
A bipartisan group of U.S. senators has introduced legislation aimed at cementing restrictions on the export of advanced artificial intelligence chips to China, a move that would create significant long-term policy hurdles for semiconductor giants like Nvidia (NVDA) and Advanced Micro Devices (AMD).
The bill, titled the Secure and Feasible Exports (SAFE) Chips Act, would block the Commerce Department from issuing export licenses for high-end AI chips to China and other designated adversaries for at least 30 months. Introduced by Republican Senator Pete Ricketts and Democratic Senator Chris Coons, the legislation seeks to prevent any future presidential administration from unilaterally relaxing the stringent export controls that have become a central plank of U.S. technology policy.
This legislative effort introduces a new layer of uncertainty for chipmakers who have been navigating a complex and often shifting regulatory landscape. The move directly targets the sophisticated processors, such as Nvidia's H200 and upcoming Blackwell-architecture chips, that are critical for developing large-scale AI models. "This bill would codify what is currently an administrative policy, making it much harder for companies to lobby for exemptions or for a future administration to reverse course," noted a technology policy analyst.
The introduction of the SAFE Chips Act comes amid an ongoing debate in Washington over the proper balance between national security and commercial interests. U.S. officials have consistently argued that restricting China's access to cutting-edge semiconductor technology is necessary to slow Beijing's military modernization. Lawmakers backing the bill have voiced concerns that allowing advanced AI technology to flow to China could enable the development of sophisticated weaponry and surveillance systems.
For Nvidia and AMD, China represents a significant, albeit challenging, market. Both companies have previously developed down-graded versions of their flagship chips specifically to comply with existing U.S. export rules. However, these efforts have met with mixed success amid reports that Chinese firms are increasingly turning to domestic alternatives, such as those developed by Huawei.
Nvidia, in particular, has been actively engaged in discussions with the U.S. government to navigate the restrictions. The SAFE Chips Act appears to be a direct legislative response to recent industry lobbying. The bill was introduced shortly after a separate legislative effort, the GAIN AI Act, was sidelined—a development that was widely seen as a lobbying victory for Nvidia, as it could have paved the way for loosened controls.
The proposed law would require the administration to brief Congress at least one month before making any changes to the export rules after the initial 30-month period, ensuring a higher degree of legislative oversight. This provision underscores the growing consensus in Congress that decisions impacting national security and technology leadership should not be subject to rapid administrative shifts. While the bill's passage is not guaranteed, its bipartisan backing signals a sustained and hardening stance in Washington on tech competition with China, creating a formidable headwind for U.S. chip designers eyeing the lucrative Chinese market.