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Bill Seeks to Align US, Foreign Export Controls on Chipmaking Equipment

Rep. Bill Huizenga, R-Mich., who chairs the House Foreign Affairs Subcommittee on South and Central Asia, which oversees the Bureau of Industry and Security, introduced a bill Nov. 17 to promote multilateral coordination on export controls for chipmaking equipment.

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The Semiconductor Technology Resilience, Integrity and Defense Enhancement Act, or Stride Act, calls for the U.S. to work with other countries to align their controls to keep sensitive technology out of the hands of China and “foreign adversaries.” The initiative would include design and manufacturing equipment, as well as materials.

Countries that don’t cooperate with the American effort could face export restrictions on U.S.-origin technology under the foreign direct product rule, and their companies could be placed on the BIS Entity List. The State Department would have to update Congress every 90 days on its multilateral coordination activities.

Huizenga said his legislation is needed because American allies have "much weaker export controls" than the U.S. does. "The result is that when companies are restricted from selling to China, sometimes those Dutch or Japanese companies backfill that lost sale," he said at a Nov. 20 hearing of his subcommittee. His proposal would "stop those free passes."

The bill, which has two Republican co-sponsors, was referred to the full Foreign Affairs Committee.

A report released by the House Select Committee on China in October said U.S. and allied export controls have failed to stop China from buying “vast quantities of highly sophisticated” chipmaking equipment (see 2510070029). It recommended that the U.S. work to reduce China's access to such equipment by aligning American and allied export controls.

A House bill introduced in September would require the executive branch to report to Congress annually on China’s semiconductor manufacturing capabilities, including whether U.S. and allied export controls are curbing the development of that equipment (see 2509250047).