US Senate passes AI chip export limits on Nvidia, AMD to China

US Senate passes AI chip export limits on Nvidia, AMD to China

The US Senate has approved a bipartisan legislation that imposes export restrictions on advanced artificial intelligence chipmakers Nvidia Corp. and Advanced Micro Devices Inc. (AMD) to China. The measure, which was passed as part of the annual defense policy bill, aims to bolster US competitiveness in cutting-edge industries and curb exports to China and other foreign adversaries . The legislation requires Nvidia and AMD to ensure that US companies get priority access to their products before China. This move is part of broader efforts to address the perceived threat from China's tech industry. The bill was easily approved in a vote late Thursday, with support from both Republicans and Democrats. Senator Jim Banks, an Indiana Republican, and Senator Elizabeth Warren of Massachusetts, the lead co-sponsors, expressed their support for the measure . However, the bill faces an uncertain path to becoming law. The House passed its version in September without the export-controls language, and lawmakers in both chambers must now negotiate a final package. Critics, including US tech leaders and groups, argue that the bill would restrict competition and weaken innovation. Nvidia, which has its largest market in the US, has expressed concerns about the legislation, stating that it addresses a non-existent problem . The measure has received mixed reactions. AI policy nonprofit Americans for Responsible Innovation President Brad Carson praised it as a "major win for US economic competitiveness and national security" . The Senate's action follows a Trump administration deal this summer with Nvidia and AMD to ease export restrictions to China, indicating a shift in policy. In summary, the Senate's passage of the AI chip export limits on Nvidia and AMD to China reflects a strategic effort to strengthen US competitiveness in the AI sector. The legislation's ultimate fate, however, remains uncertain as negotiations between the House and Senate continue.