The bill is seen as “the most aggressive legislative action on AI” to date.
Updated: Feb 04, 2025Senator Hawley's latest legislative move could impose fines up to $100 million and 20 years in prison for Americans who use DeepSeek
A newly introduced bill from Senator Josh Hawley (R-MO) is drawing attention for its unprecedented severity in restricting Chinese artificial intelligence (AI), specifically targeting technologies like DeepSeek.
The bill, which Hawley filed last week, intends to “prohibit United States persons from advancing artificial intelligence capabilities within the People’s Republic of China, and for other purposes.” Analysts say the proposed legislation, if passed, could effectively outlaw the use of DeepSeek, the emerging Chinese AI competitor, within the United States.
Under Hawley’s proposed law, “technology or intellectual property” developed in China would be barred from importation into the U.S. Anyone found violating these restrictions could face up to 20 years in prison, as well as substantial monetary penalties of up to $1 million for individuals and $100 million for companies. According to Harvard AI research fellow Ben Brooks, the measure stands out as “easily the most aggressive legislative action on AI” to date.
Although the bill was tabled soon after its introduction, often a signal that a proposed law is losing momentum, the fact it was proposed at all signifies a growing sense of urgency in Congress.
Lawmakers remain alarmed by the sheer speed and scale of DeepSeek’s rise, which also contributed to a $1 trillion stock market selloff last week. DeepSeek captured international attention earlier this month by matching the performance of top-tier U.S.
AI chatbots use far fewer resources. Its efficiency has fueled fears in Washington that American technology companies could be wasting billions of dollars, especially if smaller-scale alternatives prove just as capable. Lawmakers also worry that AI breakthroughs in China could accelerate military or surveillance technologies.
Hawley and some of his colleagues argue that banning AI exports or imports tied to China would protect national security as well as U.S. economic interests.
According to The Washington Post, Hawley and Senator Elizabeth Warren (D-MA) criticized the slow pace of action by the Biden administration before it imposed new limits on the export of high-performance AI chips to China in 2022.
“Multiple administrations have failed — at the behest of corporate interests — to update and enforce our export controls in a timely manner,” Hawley and Warren wrote in an appeal to Congress. “We cannot let that continue.”
Nvidia, one of the world’s leading AI chipmakers, has become a focal point for this debate. Its stock plummeted in the largest one-day loss for any company in history, leaving many questioning whether the AI giant will continue supplying chips to Chinese entities.
Last Friday, Nvidia’s CEO Jensen Huang met with President Donald Trump. Details of the meeting are scarce, though a spokesperson told Reuters that they “discussed the importance of strengthening US technology and AI leadership.” Trump remarked, “I can’t say what’s gonna happen,” describing it as a “good meeting.”
The abrupt emergence of DeepSeek and China’s broader AI prowess has magnified concerns about national security and control over AI technologies, which have become essential over the years.
Some lawmakers argue that letting a Chinese AI tool flourish in the United States could pose the same privacy and security issues surrounding the TikTok debate. Although Congress approved a TikTok ban last year, the restriction still hangs in limbo, partly because President Trump reversed his original support and opted not to enforce it.
With new bills like Hawley’s appearing to restrict or even criminalize the importation and use of Chinese AI, the possibility of legislative overreach remains an open question. Critics argue that lawmakers are partly motivated by protecting U.S. markets from competitive threats rather than addressing national security concerns.
Nonetheless, pressure is likely to continue, given the scale of DeepSeek’s disruption and the fragile state of AI-related markets. Whether or not a formal ban on DeepSeek materializes, the bill’s introduction highlights the intensifying scrutiny on Chinese AI and could shape future technology policies within the United States.