U.S. lawmakers are negotiating three bipartisan bills to intensify restrictions on artificial intelligence hardware shipments and remote usage by Chinese firms, following reports that Nvidia’s lobbying previously stalled such curbs for nearly two years. The proposed legislation includes the MATCH Act to restrict lithography equipment, the Chip Security Act to mandate hardware tracking, and the Overwatch Act to increase congressional oversight of the Commerce Department. The White House has specifically requested that the Overwatch Act force the Commerce Department to close a regulatory gap allowing foreign entities to rent high-end GPUs via overseas cloud providers.

The legislative push gains momentum as the White House and members of Congress, including House Minority Leader Hakeem Jeffries and Rep. Brian Mast, cite security concerns and recent allegations of espionage involving Nvidia. This follows reports that the Chinese lab Moonshot AI attempted to rent clusters of more than 8,000 Blackwell GPUs from European providers, offering upfront premiums of 30% to 50% to bypass physical export bans. While Nvidia has reportedly told providers that 51% of services on new contracts must serve non-Chinese customers, officials intend to pass the three bills as part of the National Defense Authorization Act before January.