Washington is considering rules that would make selling artificial intelligence chips to overseas buyers contingent on US government sign-off, in a move that would significantly tighten American control over the global semiconductor supply chain.
Under the draft proposals, any company or government outside the United States seeking to purchase AI chips would need approval from the Department of Commerce, with the level of scrutiny scaled to the size of the order.
The rules would represent a more interventionist approach than the AI diffusion regulation introduced under President Joe Biden, which the Trump administration scrapped last May, days before it was due to take effect.
A Commerce Department spokesperson said the agency was focused on "promoting secure exports of the American tech stack" but denied reports it was reviving the Biden-era diffusion rule, calling it "burdensome, overreaching, and disastrous."
The proposals would give Washington greater oversight of chipmakers, including Nvidia and AMD, the semiconductor companies whose processors underpin most advanced AI systems.
Critics warn the restrictions could backfire by pushing overseas customers toward non-American suppliers, eroding the US lead in AI at a moment when rivals are closing the technology gap.