Report and application of controls

(a)

Identifying chokepoints

Not later than 60 days after the date of the enactment of this Act, and annually thereafter, the covered agency heads shall— (1)jointly conduct a review to identify all covered semiconductor manufacturing equipment and all covered facilities; and (2)submit to the appropriate congressional committees a list of all such equipment and covered facilities. (b)

Diplomatic engagement

(1)

In general

The covered agency heads shall prioritize and upon enactment of this Act immediately engage diplomatically to seek for the governments of allied supplier countries to adopt— (A)countrywide controls on covered semiconductor manufacturing equipment subject to the allied supplier country’s jurisdiction, or other controls and licensing policies having the same practical effect; and (B)license requirements for the export of all applicable items to any covered facility, and the servicing of all applicable items at any covered facilities, with a licensing policy of denial. (2)

Briefing on diplomatic efforts

Not later than 90 days after the date of the enactment of this Act, the covered agency heads shall provide a briefing to members of the appropriate congressional committees that— (A)describes the status of diplomatic efforts to secure the adoption by allied supplier countries of the controls described in paragraph (1); (B)outlines and assesses incentives to encourage adoption of these controls; and (C)identifies— (i)allied supplier countries that have not adopted the controls described in paragraph (1)(A); (ii)allied supplier countries that have not adopted the controls described in paragraph (1)(B); and (iii)measures that the United States has taken or plans to take to implement the controls described in paragraph (1). (c)

Exhaustion of diplomatic recourse and application of controls

(1)

Application of controls

Not later than 150 days after the enactment of this Act, and annually thereafter, the covered agency heads shall publish regulations that— (A)ensure all U.S. countrywide controls include all U.S.-origin covered semiconductor manufacturing equipment; and (B)ensure all covered facilities in countries of concern are subject to comprehensive U.S. restrictions. (2)

Exhaustion of diplomatic recourse

By the date that is 150 days after the date of the enactment of this Act, the covered agency heads shall jointly either— (A)certify to the appropriate congressional committees that all allied supplier countries have implemented— (i)countrywide controls over all covered semiconductor manufacturing equipment subject to the allied supplier country’s jurisdiction, or other controls and licensing policies having the same practical effect; and (ii)license requirements for all applicable items, with a licensing policy of denial, or other controls and licensing policies having the same practical effect; or (B)provide a list to the appropriate congressional committees of any allied supplier countries that have not implemented all controls described in subparagraph (A)(i) or (ii). (3)

Extension of controls

Unless the covered agency heads provide the certification in subparagraph (A), the covered agency heads shall issue regulations that— (A)establish U.S. jurisdiction over and apply countrywide controls to all covered semiconductor manufacturing equipment and components therefor exported from countries identified by the covered agency heads under subsection (c)(2)(B), whether by establishing jurisdiction over such items and applying controls directly, or by restricting the end-uses of essential components of such equipment that are already subject to U.S. jurisdiction, or both; (B)require a license for all servicing of any applicable item located in any covered facility, and implement a policy of denial for such servicing; and (C)establish jurisdiction over, and apply end-user or end-use controls prohibiting, the export from countries identified by the covered agency heads under subsection (c)(2)(B) of all applicable items to any covered facility. (d)

National security waiver

The covered agency heads may jointly grant a one-time waiver to extend the 150-day deadline under subsection (c) by not more than 90 days, if the covered agency heads, with concurrence from the Secretary of Defense and the Secretary of Energy, jointly— (1)determine and certify to the appropriate congressional committees that— (A)the extension is in the national security interest of the United States, despite the risk that countries of concern may take advantage of the delay to further stockpile covered semiconductor manufacturing equipment; and (B) the governments of an allied supplier country or countries are taking concrete, verifiable steps, pursuant to their domestic laws and regulations and as expeditiously as possible, to adopt and implement controls that are fully aligned with, or more stringent than, the controls that would otherwise be imposed under subsection (c)(3); and (2)submit a report to the appropriate congressional committees describing— (A)the details justifying the national security interest determination and progress that is intended to be achieved by the extension; and (B)the concrete and verifiable interim steps the covered agency heads have taken to prevent stockpiling of covered semiconductor manufacturing equipment by countries of concern. (e)

Report

Not later than 180 days after the date of the enactment of this Act, and annually thereafter, the covered agency heads shall provide to the appropriate congressional committees a report that includes— (1)a list of all covered semiconductor manufacturing equipment; (2)a list of all covered facilities and all entities that own or operate any covered facility; (3)the scope of the controls described in subsection (b)(1) imposed by the United States and allied supplier countries for all covered semiconductor manufacturing equipment identified pursuant to paragraph (1); (4) a summary of diplomatic engagements and unilateral actions undertaken in the 12-month period prior to the submission of the report to close any gap in the controls described in subsection (b)(1) among allied supplier countries; and (5)a certification that the export of all covered semiconductor manufacturing equipment to a country of concern, and the export, reexport, or transfer, or servicing of all applicable items to any covered facility, requires a United States or allied license and applications for such licenses will be reviewed under a policy of denial. (f)

Termination and reimposition of controls upon allied action

(1)

Termination or modification

If the covered agency heads determine that an allied supplier country has implemented all the controls in (c)(2)(A)(i) and (ii), the covered agency heads may, upon notifying the appropriate congressional committees of such determination, terminate or modify any control imposed under subsection (c)(3) for items exported from that allied supplier country. (2)

Reimposition

If, after terminating or modifying a control under paragraph (1), the covered agency heads determine that the allied supplier country has materially weakened, suspended, or revoked the control or licensing policy of denial that justified the termination or modification under paragraph (1), the covered agency heads shall, not later than 60 days after making such determination— (A)notify the appropriate congressional committees of such determination; and (B)reimpose the control under subsection (c)(2) that was terminated or modified under paragraph (1). (g)

Administrative procedure act rulemaking and judicial review

The provisions of section 1762 of the Export Control Reform Act of 2018 (50 U.S.C. 4821) shall apply to this Act in the same manner and to the same extent as such provisions apply to the Export Control Reform Act of 2018. (h)

Sunset

(1)

Expiration

This Act shall cease to have effect on the date that is 5 years after the date of the enactment of this Act. (2)

Continuation of prior obligations

The expiration of this Act under subsection (a) shall not affect any action, proceeding, or obligation that was commenced or incurred prior to such expiration. (i)

Definitions

In this section: (1)

Advanced-node integrated circuits

The term advanced-node integrated circuits has the meaning given that term in section 772.1 of the Export Administration Regulations. (2)

Allied supplier country

The term allied supplier country means any country that— (A)is not a country of concern; and (B)is engaged in the production of covered semiconductor manufacturing equipment. (3)

Applicable item

The term applicable item means any item that is or can be made subject to the Export Administration Regulations, including— (A)a foreign-produced item that is the direct product of, or produced by plants or major components that are themselves the direct product of software or technology subject to the Export Administration Regulations; (B)a foreign-produced item with more than zero percent de minimis controlled United States-origin content; and (C)a foreign-produced item that contain United States-origin or foreign-produced integrated circuits that are presumptively designed or produced, directly or indirectly, with technology, software, or equipment that is subject to the Export Administration Regulations. (4)

Appropriate congressional committees

The term appropriate congressional committees means— (A)the Committee on Banking, Housing, and Urban Affairs of the Senate; and (B)the Committee on Foreign Affairs of the House of Representatives. (5)

Country of concern

The term country of concern means— (A)the People’s Republic of China, including the Hong Kong and Macau Special Administrative Regions; (B)the Republic of Cuba; (C)the Islamic Republic of Iran; (D)the Democratic People’s Republic of Korea; (E)the Russian Federation; and (F)any other foreign country listed in the Country Group D:5 under Supplement No. 1 to part 740 of the Export Administration Regulations, as published on January 1, 2026, that is designated by the Secretary of State as a country of concern for purposes of this section and for which notice of such designation has been published in the Federal Register. (6)

Countrywide controls

The term countrywide controls means licensing requirements and a policy of denial for the export, reexport, transfer or servicing of all specified items to any destination within any country of concern, excluding exports where the destination is a fabrication facility that existed as of the date of the enactment of this Act and remains owned and operated by a company headquartered, and having an ultimate parent headquartered, outside of any country of concern. (7)

Covered agency heads

The term covered agency heads means the Under Secretary of Commerce for Industry and Security and the Secretary of State, in coordination with the Secretary of Energy and the Secretary of Defense, or their designees. (8)

Covered facility

The term covered facility means any facility— (A)which is— (i)located in a country of concern; (ii)engaged in the production of advanced-node integrated circuits; and (iii)not a fabrication facility that— (I)existed as of the date of the enactment of this Act; and (II)remains owned and operated by a company which is headquartered and has an ultimate parent headquartered outside of any country of concern; or (B)which is or ever has been owned or controlled by, under common ownership or control with, or manufacturing at the direction of— (i)any entity described in section 5949(j)(3)(A) or (B); (ii)Huawei or Hua Hong; (iii)any producer, manufacturer, or developer of semiconductor manufacturing equipment that is headquartered in, or has an ultimate parent headquartered in, a country of concern; or (iv)any entity that is a subsidiary, affiliate, or successor to, or has a joint venture, teaming agreement, joint development or research agreement, technology transfer or collaboration agreement, or other similar type of arrangement with an entity described in paragraph (10)(B)(i), (ii), or (iii). (9)

Covered semiconductor manufacturing equipment

The term covered semiconductor manufacturing equipment— (A)means semiconductor manufacturing equipment or a component therefor that— (i)is an applicable item; and (ii)the covered agency heads determine no country of concern produces in high volume and with capabilities comparable to those of the product sold by the global market leader, as of the date of the enactment of this Act; and (B)includes, at a minimum— (i)all semiconductor manufacturing equipment, materials, and software that at the date of passage of this Act require a license for export, re-export, or in-country transfer to any destination in a country of concern; (ii)all deep ultraviolet immersion photolithography machines, through silicon via deposition and etch tools, cryogenic etch equipment, and cobalt deposition equipment, regardless of overlay or other performance characteristics; and (iii)presumptively, all semiconductor manufacturing equipment or components specified in Export Control Classification Number 3B001, 3B002, or 3B993 as of the date of the enactment of this Act, except any items the covered agency heads determine are not covered semiconductor manufacturing equipment. (10)

Export; in-country transfer; reexport; export administration regulation

The terms export, in-country transfer, reexport, and Export Administration Regulations have the meanings given such terms in section 1742 of the Export Control Reform Act of 2018 (50 U.S.C. 4801). (11)

Servicing

The term servicing means any servicing of equipment or components, whether in-person or remote, including installation, calibration, repair, overhauling, refurbishing, testing, diagnosing, updating software or firmware, training, field services, application support engineering, customization, technical assistance, process adjustments, troubleshooting, and transfer of industry best practices for maintenance.