Senate Passes Bill To Crack Down On Smuggling Of U.S. Chips To China

If signed into law, the bill would amend the Export Control Reform Act to establish a whistleblower reward program at the Bureau of Industry and Security (BIS) at the U.S. Commerce Department to boost reporting of illegal exports and to halt the flow of American-made semiconductors smuggled into China.

“I am pleased that the Stop Stealing our Chips Act has passed the Senate,” Sen. Rounds said.

“The United States has taken extensive measures to prevent American-made semiconductors from falling into the wrong hands, particularly China; however, China continues to smuggle these chips into their country,” Rounds added.

As the use of artificial intelligence (AI) continues to accelerate, he pointed out that this development creates “a grave national security concern.”