[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[S. 3150 Introduced in Senate (IS)]

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119th CONGRESS
  1st Session
                                S. 3150

  To require entities seeking a license to export advanced artificial 
   intelligence chips to countries of concern to certify that United 
         States persons have priority in acquiring those chips.


_______________________________________________________________________


                   IN THE SENATE OF THE UNITED STATES

                            November 6, 2025

   Mr. Banks (for himself, Ms. Warren, Mr. Cotton, Mr. Schumer, Mr. 
McCormick, and Mr. Coons) introduced the following bill; which was read 
  twice and referred to the Committee on Banking, Housing, and Urban 
                                Affairs

_______________________________________________________________________

                                 A BILL


 
  To require entities seeking a license to export advanced artificial 
   intelligence chips to countries of concern to certify that United 
         States persons have priority in acquiring those chips.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Guaranteeing Access and Innovation 
for National Artificial Intelligence Act of 2025'' or the ``GAIN AI Act 
of 2025''.

SEC. 2. PROHIBITION ON PRIORITIZING COUNTRIES OF CONCERN OVER UNITED 
              STATES PERSONS FOR EXPORTS OF ADVANCED INTEGRATED 
              CIRCUITS.

    Part I of the Export Control Reform Act of 2018 (50 U.S.C. 4811 et 
seq.) is amended by inserting after section 1758 the following:

``SEC. 1758A. CONTROL OF EXPORTS OF ADVANCED INTEGRATED CIRCUITS.

    ``(a) Definitions.--In this section:
            ``(1) Advanced integrated circuit.--
                    ``(A) In general.--Subject to subparagraph (B), the 
                term `advanced integrated circuit' means--
                            ``(i) an integrated circuit, computer, or 
                        other product--
                                    ``(I) classified under Export 
                                Control Classification Number 3A090 or 
                                4A090 or related Export Control 
                                Classification Numbers; or
                                    ``(II) that is functionally 
                                equivalent or substantially similar to 
                                a circuit, computer, or product 
                                described in subclause (I); or
                            ``(ii) an integrated circuit that has one 
                        or more digital processing units with--
                                    ``(I) a total processing 
                                performance of 4,800 or more;
                                    ``(II) a total processing 
                                performance of 2,400 or more and a 
                                performance density of 1.6 or more;
                                    ``(III) a total processing 
                                performance of 1,600 or more and a 
                                performance density of 3.2 or more; or
                                    ``(IV) a total DRAM bandwidth of 
                                1,400 gigabytes per second or more, 
                                interconnect bandwidth of 1,100 
                                gigabytes per second or more, or a sum 
                                of DRAM bandwidth and interconnect 
                                bandwidth of 1,700 gigabytes per second 
                                or more.
                    ``(B) Authority to update technical parameters.--
                Beginning 36 months after the date of the enactment of 
                this section, the Under Secretary may add new technical 
                parameters for the definition of `advanced integrated 
                circuit' for purposes of this section following 
                publication of the parameters in the Federal Register 
                and a period of public notice and comment.
            ``(2) Backlog of requests.--The term `backlog of requests', 
        in the case of a person submitting an application for a license 
        under subsection (b), means the person has received a request 
        from a United States person for a covered circuit or product 
        that--
                    ``(A) is formally documented through--
                            ``(i) a purchase order or enforceable 
                        contract; or
                            ``(ii) any other format consistent with 
                        ordinary commercial practice that specifies 
                        quantity, price, and time frame of delivery; 
                        and
                    ``(B) the person has not fulfilled or will not be 
                able to fulfill the request within a time frame 
                consistent with commercially standard production and 
                delivery lead times.
            ``(3) Commerce control list.--The term `Commerce Control 
        List' means the list set forth in Supplement No. 1 to part 774 
        of the Export Administration Regulations.
            ``(4) Country of concern.--The term `country of concern' 
        means--
                    ``(A) a country listed in Country Group D:5 or E in 
                Supplement No. 1 to part 740 of the Export 
                Administration Regulations;
                    ``(B) the Macau Special Administrative Region of 
                the People's Republic of China; or
                    ``(C) the Hong Kong Special Administrative Region 
                of the People's Republic of China.
            ``(5) Covered circuit or product.--
                    ``(A) In general.--Except as provided by 
                subparagraph (B), the term `covered circuit or product' 
                means an advanced integrated circuit or a product 
                containing such a circuit.
                    ``(B) Exclusion.--The term `covered circuit or 
                product' does not include an advanced integrated 
                circuit or a product containing such a circuit that is 
                not designed or marketed for data centers.
            ``(6) Performance density; total processing performance.--
        The terms `performance density' and `total processing 
        performance' have the meanings given those terms in, and are 
        calculated as provided for under, Export Control Classification 
        Number 3A090 in the Commerce Control List set forth in 
        Supplement No. 1 to part 774 of the Export Administration 
        Regulations.
            ``(7) Trusted united states person.--The term `trusted 
        United States person' means any United States person designated 
        as a trusted United States person pursuant to subsection 
        (d)(2).
    ``(b) License Requirement.--The Under Secretary of Commerce for 
Industry and Security shall require a license for the export, reexport, 
or in-country transfer of a covered circuit or product to an entity 
that is located or headquartered in, or the ultimate parent company of 
which is headquartered in, a country of concern.
    ``(c) Certification of Priority for United States Customers for 
Certain Advanced Integrated Circuits.--
            ``(1) Certification requirement.--The Under Secretary shall 
        require a person submitting an application for a license under 
        subsection (b) for the export, reexport, or in-country transfer 
        of a covered circuit or product to an entity described in 
        subsection (b) to certify in the application that--
                    ``(A) United States persons had a right of first 
                refusal for the covered circuit or product, which means 
                the person submitting the application--
                            ``(i) provided, through a public notice, 
                        United States persons with the opportunity to 
                        inquire about purchasing a covered circuit or 
                        product that would otherwise be sold to an 
                        entity described in subsection (b);
                            ``(ii) provided not fewer than 15 business 
                        days for a United States person to inquire and 
                        request to purchase the covered circuit or 
                        product; and
                            ``(iii) provided preference to a United 
                        States person submitting an inquiry under 
                        clause (i) if the United States person--
                                    ``(I) requests to purchase the full 
                                quantity or a lesser quantity of the 
                                covered circuit or product offered by 
                                the person submitting the application; 
                                and
                                    ``(II) takes material steps to 
                                complete the purchase within 15 
                                business days of requesting to purchase 
                                the covered circuit or product; and
                    ``(B) the person submitting the application--
                            ``(i) has no current backlog of requests 
                        from United States persons for the covered 
                        circuit or product or a comparable circuit or 
                        product that utilizes substantially similar 
                        production process, infrastructure, or supply;
                            ``(ii) cannot reasonably foresee, based on 
                        material information known to the person, 
                        including information disclosed to investors or 
                        shareholders or in public filings, the 
                        production and export, reexport, or in-country 
                        transfer of the covered circuit or product 
                        resulting, during the 12-month period following 
                        the export, reexport, or in-country transfer, 
                        in--
                                    ``(I) such a backlog; or
                                    ``(II) a reduction in critical 
                                production capacity for the production 
                                of a covered circuit or product or a 
                                substantially similar circuit or 
                                product that utilizes substantially 
                                similar production process, 
                                infrastructure, or supply for United 
                                States persons; and
                            ``(iii) is not providing advantageous 
                        pricing or terms for the covered circuit or 
                        product to foreign persons that the person is 
                        not providing to United States persons.
            ``(2) Denial of applications without certification.--If a 
        certification described in paragraph (1) is not submitted with 
        an application for a license required under subsection (b), the 
        Under Secretary shall deny the license.
            ``(3) Implementation.--Not later than 90 days after the 
        date of the enactment of this section, the Under Secretary 
        shall--
                    ``(A) seek input from the public regarding 
                compliance with the certification requirements under 
                paragraph (1); and
                    ``(B) based on such input, prescribe regulations 
                providing guidance for compliance with the 
                certification requirements, which shall include--
                            ``(i) information that the person 
                        submitting an application for a license under 
                        subsection (b) is required to make available 
                        about transactions with entities described in 
                        subsection (b) to ensure that United States 
                        persons can exercise a right-of-first-refusal 
                        under paragraph (1)(A);
                            ``(ii) procedures for United States persons 
                        to exercise such a right-of-first-refusal, 
                        including--
                                    ``(I) the procedural requirements 
                                for public notice under paragraph 
                                (1)(A)(i); and
                                    ``(II) guidance on when a United 
                                States person should inform the Under 
                                Secretary of Commerce for Industry and 
                                Security that the person is seeking to 
                                exercise the right-of-first-refusal 
                                under paragraph (1)(A);
                            ``(iii) conditions upon which a person 
                        submitting an application for a license under 
                        subsection (b) may proceed with the export, 
                        reexport, or in-country transfer of the covered 
                        circuit or product if a request from a United 
                        States person under paragraph (1)(A) to 
                        purchase the covered circuit or product was not 
                        made in good faith or completed in a timely 
                        manner;
                            ``(iv) recordkeeping requirements;
                            ``(v) penalties for misrepresentation and 
                        concealment of material facts; and
                            ``(vi) guidance with respect to determining 
                        whether--
                                    ``(I) a United States person 
                                exercising the right-of-first-refusal 
                                has taken a material step under 
                                paragraph (1)(A)(iii)(II);
                                    ``(II) the export, reexport, or in-
                                country transfer of a covered circuit 
                                or product would create--
                                            ``(aa) a backlog of 
                                        requests described in paragraph 
                                        (1)(B)(i); or
                                            ``(bb) a reduction in 
                                        critical production capacity 
                                        described in paragraph 
                                        (1)(B)(ii)(II); and
                                    ``(III) the person selling the 
                                circuit or product is providing 
                                advantageous pricing or terms to 
                                foreign persons as described in 
                                paragraph (1)(B)(iii).
            ``(4) Rules of construction.--Nothing in this subsection 
        shall be construed--
                    ``(A) in the case of more than one United States 
                person requesting to purchase a covered circuit or 
                product under paragraph (1)(A)(iii), to authorize the 
                Under Secretary of Commerce for Industry and Security, 
                or any other Federal official, to allocate, prioritize, 
                or otherwise select one United States person over any 
                other United States person submitting such a request;
                    ``(B) to require a person submitting an application 
                for a license under subsection (b) to publicly disclose 
                commercially sensitive or proprietary information, 
                including--
                            ``(i) customer identities;
                            ``(ii) contract terms;
                            ``(iii) delivery schedules; or
                            ``(iv) pricing data; or
                    ``(C) as applying to a covered circuit product that 
                is designed and manufactured exclusively for internal 
                use.
    ``(d) Exemption From Certain License Requirement for Trusted United 
States Persons.--
            ``(1) In general.--The requirement for a license under 
        sections 742.4 and 744.23 of the Export Administration 
        Regulations shall not apply to the export, reexport, or in-
        country transfer of a covered circuit or product if the covered 
        circuit or product--
                    ``(A) is destined for a country that is not a 
                country of concern; and
                    ``(B) remains under the ownership and control of a 
                trusted United States person once the covered circuit 
                or product is in operation.
            ``(2) Implementation.--Not later than 90 days after the 
        date of the enactment of this section, the Under Secretary of 
        Commerce for Industry and Security shall--
                    ``(A) seek input from the public regarding the 
                standards and requirements a United States person is 
                required to meet to obtain a designation as a trusted 
                United States person; and
                    ``(B) based on such input, prescribe regulations 
                establishing such standards and requirements, which 
                shall include--
                            ``(i) establishment by the United States 
                        person of physical security, cybersecurity, and 
                        other measures designed to prevent the illicit 
                        transfer or diversion of covered circuit 
                        products and comply with export control 
                        regulations;
                            ``(ii) a requirement that the United States 
                        person may not transfer or install a majority 
                        of its aggregate total processing performance 
                        of covered circuits or products outside the 
                        United States;
                            ``(iii) a requirement that not more than 10 
                        percent of the ultimate beneficial ownership of 
                        the United States person may be held, directly 
                        or indirectly, by any entity that primarily 
                        resides, is domiciled, or conducts the majority 
                        of its business in a country of concern;
                            ``(iv) a preference for sourcing advanced 
                        integrated circuit and subcomponents from 
                        production facilities that support the revival 
                        of semiconductor manufacturing in the United 
                        States; and
                            ``(v) annual audit or attestation 
                        requirements to ensure compliance with clauses 
                        (i), (ii), and (iii); and
                    ``(C) prescribe regulations establishing the 
                process by which the Under Secretary shall approve such 
                a designation.''.
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