US Lawmakers: AI Chip Exports Could Decide Future Military & Economic Power

At a House Foreign Affairs Committee hearing, this past week, members from both parties said AI chips now play a central role in warfare, intelligence, and strategic competition, requiring congressional oversight comparable to that applied to arms exports.

Committee chairman Congressman Brian Mast said advanced AI systems have moved far beyond civilian applications. "When an export shifts America's military advantage, Congress has a role to play," he said.

Mast said artificial intelligence already underpins military command and control, intelligence analysis, surveillance, cyber operations, and nuclear modernization. "AI dominance can decide who sees first, who decides first, and who strikes first," he said.

In his testimony, former US national security adviser Matt Pottinger warned that treating advanced chips as ordinary commercial products risks repeating past strategic mistakes.

In response to questions, he drew parallels to the telecommunications sector, where Western firms once dominated before Chinese companies leveraged imported technology to overtake global markets.

"We're watching the same bad movie all over again," Pottinger said, arguing that selling advanced AI chips would strengthen hostile military capabilities rather than promote open competition.

Pottinger said China's policy of "military-civil fusion" makes it impossible to separate civilian and military uses of advanced computing. "There's no such thing as civilian use in one compartment and military use in another," he said.

Former Biden administration official Jon Finer said export controls on advanced chips and semiconductor manufacturing tools have been among the few effective measures slowing adversaries' progress, but warned they require constant enforcement.

"Export controls are not a one-off fix," Finer said. "They require relentless vigilance, iterative adjustments and, when necessary, escalation."

Finer also cautioned against using national security controls as leverage in trade negotiations, saying such an approach could undermine their credibility. He said export restrictions are most effective when reinforced by Congress and coordinated with allies.

Economist Oren Cass said access to advanced computing power has become a defining measure of national strength. "Advanced AI compute is essential to the AI era, enabling both economic dynamism and novel military capabilities," he said, quoting the Trump administration's AI action plan.

Cass warned that diverting limited chip supplies to foreign buyers could weaken US industry as well.

Pottinger said private companies purchasing US chips often operate in close coordination with foreign militaries. "They are buying it to make their military better than the United States military," he said.

Several members argued that advanced AI chips should no longer be treated as ordinary exports. Mast compared congressional oversight of chip sales to the review process for fighter jets, missiles and avionics. "Advanced chips absolutely shift military advantage," he said.

As artificial intelligence becomes central to warfare, intelligence and economic competitiveness, Congress is increasingly weighing whether advanced chips should fall under a regulatory framework closer to arms control than commercial trade.

- IANS