,,ii #aaith ,,congress #ast ,session ,s4 #cba ,,in ,,the ,,senate ,,of ,,the ,,united ,,states ,january #bi1 #bjbe,mr4 ,hawley introduced the following bill2 which was read twice and referred to the ,committee on the ,judiciary ,a ,,bill ,to amend title #ah1 ,united ,states ,code1 to prohibit ,united ,states persons from advancing artificial intelligence capabilities within the ,people's ,republic of ,china1 and for other purposes4 #a4 ,short title ,this ,act may be cited as the ,decoupling ,america's ,artificial ,intelligence ,capabilities from ,china ,act of #bjbe4 #b4 ,definitions ,in this ,act3 7#a7 ,artificial intelligence2 generative artificial intelligence ,the terms artificial intelligence and generative artificial intelligence have the meanings given those terms in section #bgda of title #ah1 ,united ,states ,code1 as added by section #c4 7#b7 ,artificial intelligence or generative artificial intelligence technology or intellectual property ,the term artificial intelligence or generative artificial intelligence technology or intellectual property means technology or intellectual property that could be used to contribute to artificial intelligence or generative artificial intelligence capabilities4 7#c7 ,chinese entity of concern ,the term ,chinese entity of concern has the meaning given the term in section #bgda of title #ah1 ,united ,states ,code1 as added by section #d4 7#d7 ,interest ,the term interest1 with respect to an entity1 includes an interest in the entity-- 7,a7 held directly or indirectly through any chain of ownership2 or 7,b7 held as a derivative financial instrument or other contractual arrangement with the entity1 including any financial instrument or other contract that seeks to replicate any financial return with respect to the entity or an interest in the entity4 7#e7 ,military-civil fusion strategy ,the term military-civil fusion strategy means the strategy of the ,chinese ,communist ,party aiming to mobilize non-military resources and expertise for military application1 including the development of technology1 improvements in logistics1 and other uses by the ,people's ,liberation ,army4 7#f7 ,intellectual property ,the term intellectual property means-- 7,a7 any work protected by a copyright under title #ag1 ,united ,states ,code2 7,b7 any property protected by a patent granted by the ,united ,states ,patent and ,trademark ,office under title #ce1 ,united ,states ,code2 7,c7 any word1 name1 symbol1 or device1 or any combination thereof1 that is registered as a trademark with the ,united ,states ,patent and ,trademark ,office under the ,act entitled ,an ,act to provide for the registration and protection of trademarks used in commerce1 to carry out the provisions of certain international conventions1 and for other purposes1 approved ,july #e1 #aidf 7commonly known as the ,lanham ,act or the ,trademark ,act of #aidf7 7#ae ,u4,s4,c4 #ajea et seq472 or 7,d7 a trade secret 7as defined in section #ahci of title #ah1 ,united ,states ,code74 7#g7 ,technology ,the term technology-- 7,a7 has the meaning given that term in section #agdb of the ,export ,control ,reform ,act of #bjah 7#ej ,u4,s4,c4 #dhja72 and 7,b7 includes-- 7i7 any semiconductor1 circuit board1 operating system1 graphics processing unit1 central processing unit1 tenor processing unit1 field-programmable gate array1 random access memory1 hard drive1 solid-state drive1 dataflow architecture1 or cloud-computing service1 that is manufactured1 designed1 developed1 supplied1 deployed1 completed1 assembled1 restored1 converted1 or replicated to function artificial intelligence or generative artificial intelligence2 and 7ii7 any other hardware1 software1 equipment1 device1 component1 robotic1 computer1 processor1 network1 machine1 accelerator1 circuit1 storage1 system or subsystem1 server1 or related good1 tool1 or service1 that is manufactured1 designed1 developed1 supplied1 deployed1 completed1 assembled1 restored1 converted1 or replicated to function artificial intelligence or generative artificial intelligence4 7#h7 ,terms from ,export ,control ,reform ,act of #bjah ,the terms export1 in-country transfer1 and reexport have the meanings given those terms in section #agdb of the ,export ,control ,reform ,act of #bjah 7#ej ,u4,s4,c4 #dhja74 7#i7 ,united ,states person ,the term ,united ,states person has the meaning given the term in section #bgda of title #ah1 ,united ,states ,code1 as added by section #d4 #c4 ,prohibitions on import and export of artificial intelligence or generative artificial intelligence technology or intellectual property 7a7 ,prohibition on importation ,on and after the date that is #ahj days after the date of the enactment of this ,act1 the importation into the ,united ,states of artificial intelligence or generative artificial intelligence technology or intellectual property developed or produced in the ,people's ,republic of ,china is prohibited4 7b7 ,prohibition on export ,on and after the date that is #ahj days after the date of the enactment of this ,act1 the export1 reexport1 or in-country transfer of artificial intelligence or generative artificial intelligence technology or intellectual property to or within the ,people's ,republic of ,china is prohibited4 7c7 ,penalties 7#a7 ,criminal ,a person who willfully commits1 willfully attempts to commit1 or willfully conspires to commit1 or aids and abets in the commission of1 the violation of a prohibition under subsection 7a7 or 7b7 shall be subject to the criminal penalties set forth in subsection 7b7 of section #agfj of the ,export ,control ,reform ,act of #bjah 7#ej ,u4,s4,c4 #dhai7 to the same extent as a person who willfully commits1 willfully attempts to commit1 or willfully conspires to commit1 or aids and abets in the commission of an unlawful act described in subsection 7a7 of that section4 7#b7 ,civil ,a person who violates a prohibition under subsection 7a7 or 7b7 or any regulation1 order1 or license issued to carry out any such prohibition shall be subject to a civil penalty set forth in section #agfj7;c7 of the ,export ,control ,reform ,act of #bjah 7#ej ,u4,s4,c4 #dhai7;c77 for each such violation to the same extent as a person who commits a violation described in that section4 7d7 ,regulations ,not later than #ij days after the date of enactment of this ,act1 the ,secretary of ,commerce shall issue regulations implementing this section4 #d4 ,artificial intelligence research and development 7a7 ,in general ,part ,i of title #ah1 ,united ,states ,code1 is amended by adding at the end the following3 #abd ,research and development that benefits the ,people's ,republic of ,china #bgda4 ,definitions ,in this chapter3 7#a7 ,artificial intelligence ,the term artificial intelligence-- 7,a7 has the meaning given the term in section #bch7;g7 of the ,john ,s4 ,mc,cain ,national ,defense ,authorization ,act for ,fiscal ,year #bjai 7#aj ,u4,s4,c4 note prec4 #djfa2 ,public ,law #aae-bcb72 and 7,b7 includes-- 7i7 an artificial or automated system-- 7,i7 that performs tasks under varying and unpredictable circumstances without significant human oversight2 7,,ii7 that can learn from experience and improve performance when exposed to data sets2 7,,iii7 developed in computer software1 physical hardware1 or another context that solves tasks requiring human-like perception1 cognition1 planning1 learning1 communication1 or physical action2 7,,iv7 designed to think or act like a human1 including through cognitive architectures or neural networks2 7,v7 that has or is derived from a set of techniques1 including machine learning1 statistics1 or other data processing or artificial intelligence techniques1 that is designed to approximate a cognitive task2 7,,vi7 designed to act rationally1 including through an intelligent software agent or embodied robot that achieves goals using perception1 planning1 reasoning1 learning1 communicating1 decision-making1 and acting2 or 7,,vii7 that is intended to or capable of interacting with humans1 detecting human emotions1 determining associations with social categories based on biometric data1 or generating or manipulating image1 audio1 video1 or related material2 and 7ii7 any other artificial or automated system1 software1 or process that uses computation as whole or part of a system to determine outcomes1 make or aid decisions1 inform policy implementation1 collect data or observations1 or otherwise interact with humans or communities of humans4 7#b7 ,control ,the term control has the meaning given the term in section #hjj4bjh of title #ca1 ,code of ,federal ,regulations 7as in effect on the date of enactment of this ,act74 7#c7 ,corporation ,the term corporation-- 7,a7 means an entity with the business structure of a corporation1 a company1 a limited liability company1 a limited partnership1 a business trust1 a business association1 or another similar entity2 and 7,b7 includes any subsidiary or branch of an entity described in subparagraph 7,a7 tied to an entity described in subparagraph 7,a7 through a series of contracts4 7#d7 ,development ,the term development means creative and systematic work that draws upon knowledge gained from research and practical experience1 which-- 7,a7 is directed toward the production of new products or processes or improving existing products or processes2 and 7,b7 like research1 results in gaining additional knowledge4 7#e7 ,entity of concern ,the term entity of concern means-- 7,a7 an institution of education1 including a college and university1 organized under the laws of the ,people's ,republic of ,china2 7,b7 a research institution1 research lab1 or research and development center organized under the laws of the ,people's ,republic of ,china2 7,c7 any corporation-- 7i7 that is organized under the laws of the ,people's ,republic of ,china2 7ii7 that is headquartered in the ,people's ,republic of ,china2 7iii7 that has its principal place of business in the ,people's ,republic of ,china2 or 7iv7 the equity securities of which are primarily traded on not less than #a exchange based within the ,people's ,republic of ,china2 and 7,d7 the ,government of the ,people's ,republic of ,china 7as defined in section #bjd of the ,u4,s4-,china ,relations ,act of #bjjj 7#bb ,u4,s4,c4 #fijc77 and any governmental department1 agency1 ministry1 research institution1 research lab1 research and development center1 or any other entity1 subdivision1 or affiliate of the ,people's ,republic of ,china1 the ,chinese ,communist ,party1 or the ,people's ,liberation ,army4 7#f7 ,federal agency ,the term ,federal agency means a department1 an independent establishment1 a commission1 an administration1 an authority1 a board or bureau of the ,united ,states1 a corporation in which the ,united ,states has a proprietary interest1 or any other agency of the executive branch of the ,federal ,government4 7#g7 ,federal financial assistance ,the term ,federal financial assistance means a grant1 loan1 or contribution provided by the ,federal ,government4 7#h7 ,generative artificial intelligence ,the term generative artificial intelligence means an artificial intelligence system that is capable of generating novel text1 video1 images1 audio1 or other media based on prompts or other forms of data provided by an individual4 7#i7 ,peoples's ,republic of ,china ,the term ,people's ,republic of ,china includes ,hong ,kong and ,macau4 7#aj7 ,research ,the term research-- 7,a7 means a systematic study directed toward fuller scientific knowledge or understanding of a subject studied2 and 7,b7 includes activities involving the training of individuals in research techniques if such activities-- 7i7 use the same facilities as other research and development activities2 and 7ii7 are not included in the instruction function4 7#aa7 ,research and development ,the term research and development means a basic or applied research activity and a development activity4 7#ab7 ,state ,the term ,state means each of the several ,states of the ,united ,states4 7#ac7 ,territory ,the term territory means-- 7,a7 the ,district of ,columbia2 7,b7 the ,commonwealth of ,puerto ,rico2 7,c7 the ,united ,states ,virgin ,islands2 7,d7 ,guam2 7,e7 the ,commonwealth of the ,northern ,mariana ,islands2 and 7,f7 ,american ,samoa4 7#ad7 ,united ,states ,person ,the term ,united ,states person-- 7,a7 has the meaning given the term in section #agaa of the ,national ,defense ,authorization ,act for ,fiscal ,year #aiic 7#bb ,u4,s4,c4 #fjaj72 and 7,b7 includes-- 7i7 a corporation that is incorporated or organized under ,federal law or the laws of a ,state or territory2 7ii7 an institution of education1 including a college and university1 organized under ,federal law or the laws of a ,state or territory2 7iii7 a research institution organized under ,federal law or the laws of a ,state or territory2 7iv7 a person that is-- 7,i7 a protected individual 7as defined in section #bgd;,b7a77#c7 of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #acbd;b7a77#c71 wherever located or employed2 and 7,,ii7 an alien who has been admitted to the ,united ,states as a lawful permanent resident2 and 7v7 a person or corporation controlled by an individual or entity described in this paragraph4 #bgdb4 ,unlawful acts 7a7 ,research and development ,a ,united ,states person may not intentionally conduct1 attempt or conspire to conduct1 or aid and abet in conducting research or development of artificial intelligence or generative artificial intelligence-- 7#a7 within the ,people's ,republic of ,china2 7#b7 for an entity of concern2 7#c7 on behalf of an entity of concern2 7#d7 in collaboration with an entity of concern2 7#e7 for a national of the ,people's ,republic of ,china working for or on behalf of an entity of concern2 7#f7 on behalf of a national of the ,people's ,republic of ,china working for or on behalf of an entity of concern2 or 7#g7 in collaboration with a national of the ,people's ,republic of ,china working for1 or on behalf of1 an entity of concern4 7b7 ,transfer of research ,a ,united ,states person may not intentionally transfer1 attempt or conspire to transfer1 or aid and abet in transferring information relating to research of artificial intelligence or generative artificial intelligence-- 7#a7 within the ,people's ,republic of ,china2 7#b7 directly to or from the ,people's ,republic of ,china2 7#c7 for an entity of concern2 7#d7 on behalf of an entity of concern2 7#e7 directly to or from an entity of concern2 7#f7 for a national of the ,people's ,republic of ,china working for or on behalf of an entity of concern2 7#g7 on behalf of a national of the ,people's ,republic of ,china working for or on behalf of an entity of concern2 or 7#h7 directly to or from a national of the ,people's ,republic of ,china working for or on behalf of an entity of concern4 #bgdc4 ,penalties 7a7 ,fines2 forfeiture 7#a7 ,entities 7,a7 ,in general ,a ,united ,states person that violates section #bgdb that is not an individual shall-- 7i7 be fined not more than #ajj1jjj1jjj2 and 7ii7 forfeit any license1 contract1 subcontract1 grant1 or public benefit awarded by any ,federal agency4 7,b7 ,associates of entities ,an officer1 director1 partner1 agent1 or employee that violates section #bgdb shall-- 7i7 be fined not more than #a1jjj1jjj2 and 7ii7 forfeit any license1 contract1 subcontract1 grant1 or public benefit awarded by any ,federal agency4 7#b7 ,individuals ,a ,united ,states person who is an individual that violates section #bgdb shall-- 7,a7 be fined not more than #a1jjj1jjj2 and 7,b7 forfeit any license1 contract1 subcontract1 grant1 or public benefit awarded by any ,federal agency4 7b7 ,ineligibility for ,federal financial assistance ,a ,united ,states person that violates section #bgdb shall be ineligible to receive ,federal financial assistance during the #e-year period beginning on the date on which a penalty is imposed under subsection 7a74 7c7 ,civil penalties 7#a7 ,civil action ,with respect to a ,united ,states person that violates section #bgdb1 the ,united ,states may bring a civil action against the ,united ,states person in any district court of the ,united ,states in which the ,united ,states person resides1 is found1 or has an agent1 without respect to the amount in controversy4 7#b7 ,damages ,in a civil suit brought under paragraph 7#a7 against a ,united ,states person1 the ,united ,states shall be entitled-- 7,a7 to-- 7i7 relief in equity to restrain and prevent a violation or threat of violation of section #bgdb2 and 7ii7 other appropriate equitable relief2 7,b7 to relief in damages for-- 7i7 punitive and nominal damages2 7ii7 three times the amount of damages sustained by the ,united ,states as a result of the violation2 and 7iii7 three times the cost of the civil action1 including reasonable attorney's fees2 7,c7 to a civil fine of not more than #ajj1jjj1jjj if the ,united ,states person is not an individual2 and 7,d7 to a civil fine of not more than #a1jjj1jjj if the ,united ,states person is an individual 4 7b7 ,citizenship and immigration consequences ,section #aja7;a77#dc7 of the ,immigration and ,nationality ,act 7#h ,u4,s4,c4 #aaja7;a77#dc77 is amended-- 7#a7 in subparagraph 7,t71 by striking 2 and at the end2 7#b7 by redesignating subparagraph 7,u7 as subparagraph 7,v72 and 7#c7 by inserting after subparagraph 7,t7 the following3 7,u7 an offense described in section #bgdb of title #ah1 ,united ,states ,code 7relating to research and development on behalf of the ,people's ,republic of ,china72 and 4 7c7 ,clerical amendment ,the table of sections for part ,i of title #ah1 ,united ,states ,code1 is amended by adding at the end the following3 ,chapter #abd--,research and development on behalf of the ,people's ,republic of ,china #bgda4 ,definitions4 #bgdb4 ,unlawful acts4 #bgdc4 ,penalties4 4 7d7 ,regulations ,the ,attorney ,general1 in consultation with the ,secretary of ,defense1 the ,secretary of ,commerce1 the ,secretary of ,education1 the ,director of ,national ,intelligence1 and the ,director of the ,federal ,bureau of ,investigation1 shall-- 7#a7 promulgate regulations to enforce the prohibitions under section #bgdb of title #ah1 ,united ,states ,code1 as added by this ,act2 and 7#b7 coordinate with the heads of other ,federal agencies to ensure the enforcement of the prohibitions described in paragraph 7#a74 #e4 ,prohibition on ,united ,states persons holding an interest in or providing financing to ,chinese entities involved in artificial intelligence research and development 7a7 ,in general ,on and after the date that is one year after the date of the enactment of this ,act1 a ,united ,states person is prohibited from knowingly holding or managing an interest in1 or lending money or extending credit to1 a ,chinese entity of concern that-- 7#a7 7,a7 conducts research or development relating to artificial intelligence or generative artificial intelligence2 or 7,b7 produces goods1 including hardware and software1 that incorporate research or development relating to artificial intelligence or generative artificial intelligence2 and 7#b7 7,a7 assists in the implementation of the military-civil fusion strategy of the ,people's ,republic of ,china2 7,b7 assists in the development of surveillance capabilities2 or 7,c7 is implicated in human rights abuses4 7b7 ,implementation2 penalties 7#a7 ,implementation ,the ,president may exercise the authorities provided to the ,president under sections #bjc and #bje of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agjb and #agjd7 to the extent necessary to carry out this section4 7#b7 ,penalties ,a person that violates1 attempts to violate1 conspires to violate1 or causes a violation of this section or any regulation1 license1 or order issued to carry out this section shall be subject to the penalties set forth in subsections 7b7 and 7c7 of section #bjf of the ,international ,emergency ,economic ,powers ,act 7#ej ,u4,s4,c4 #agje7 to the same extent as a person that commits an unlawful act described in subsection 7a7 of that section4