
US lawmakers have taken a fresh step to control the flow of advanced technology by approving a Senate measure that would give American buyers priority access to artificial intelligence chips ahead of Chinese customers, Bloomberg reported..
The legislation, attached to the annual defence policy bill and passed late Thursday, signals Washington’s growing intent to link economic policy with national security. It aims to ensure that domestic firms are not left waiting while Chinese technology giants gain access to US-designed semiconductors.
The new rule could reshape operations for chipmakers such as Nvidia Corp. and Advanced Micro Devices Inc., which dominate the global AI hardware market. Both companies have expanded production to meet soaring demand, particularly from data centres and AI developers in Asia. Nvidia said last month the proposal attempts to solve “a non-existent problem,” describing the United States as already its largest market.
Lawmakers from both parties backed the measure, led by Republican Senator Jim Banks and Democrat Elizabeth Warren. Warren said it was designed to make sure “American customers aren’t forced to wait behind China’s tech giants to access next-generation AI chips.”
However, technology trade groups and industry executives warned that prioritising domestic sales could slow innovation and distort competition. They argue that market-led supply decisions, not policy restrictions, should determine who gets access to emerging technology.
Despite industry pushback, momentum in Washington continues to build toward tighter scrutiny of AI exports. Earlier this year, Nvidia and AMD struck an agreement with the Trump administration easing some restrictions on chip sales to China. Yet the Senate’s latest move shows that the political appetite for stronger technology controls remains.