Conservative groups urge House to add AI chip restrictions to 2027 defense bill

A coalition of conservative policy groups—American Compass, the Foundation for American Innovation and Heritage Action—has appealed to House Speaker Mike Johnson and Majority Leader Steve Scalise to embed three legislative measures in the fiscal-year-2027 defense authorization. The bills, known as the AI OVERWATCH Act, MATCH Act and Chip Security Act, aim to curb China’s ability to acquire advanced artificial-intelligence chips and the manufacturing tools required to produce them.

In their letter, the groups contend that dominance in AI semiconductor design is a core national-security priority for the United States and its allies. They caution that allowing rival nations to obtain such technology would be “dangerous and shortsighted.” However, the proposals face pushback from the White House and major technology companies, suggesting that securing their inclusion will be challenging.

The effort reflects broader bipartisan concerns about technology competition with China, even as legislative and industry stakeholders debate the best approach. If enacted, the measures could reshape export controls and supply-chain policies for high-performance chips.