Baumgartner Introduces Bipartisan Bill to Tighten Controls on Sensitive Chipmaking Equipment

WASHINGTON - Congressman Michael Baumgartner (WA-05) introduced the Multilateral Alignment of Technology Controls on Hardware (MATCH) Act, a bipartisan bill designed to strengthen U.S. national security by closing critical gaps in export controls on semiconductor manufacturing equipment (SME). Original cosponsors include Chairman of the Select Committee on China John Moolenaar (MI-02) and Reps. Rich McCormick (GA-07), Bill Huizenga (MI-04), Jefferson Shreve (IN-06), Mike Lawler (NY-17), John Mannion (NY-22), Jared Golden (ME-02), Josh Riley (NY-19), Maggie Goodlander (NH-02) and Suhas Subramanyam (VA-10). Senators Pete Ricketts (R-NE) and Andy Kim (D-NJ) are introducing companion legislation in the Senate.

China continues to aggressively subsidize its semiconductor industry, replicating the state-driven strategies that enabled its dominance in solar panels, EV batteries, and other advanced manufacturing sectors. As a result, Chinese-made legacy chips are now widely embedded in U.S. weapons systems, intelligence platforms, and critical infrastructure. Even in leading-edge AI chip production, Chinese firms such as Huawei are rapidly advancing.

While the United States has imposed extensive export controls to slow China's semiconductor indigenization, U.S. allies have not fully matched these measures. This misalignment has left critical gaps that China continues to exploit.

"China has made it abundantly clear that it intends to dominate the technologies that underpin both our economy and our national defense. The United States cannot afford to leave open back doors that allow the Chinese Communist Party to acquire the tools it needs to leap ahead in semiconductor manufacturing. I introduced the MATCH Act to ensure that America and our allies move in lockstep to close these gaps, defend our technological edge, and safeguard the supply chains that power everything from our weapons systems to our critical infrastructure. This is about protecting American workers, American innovation, and American security for the long haul." - Congressman Michael Baumgartner

"The bipartisan MATCH Act will close loopholes, create a level playing field for U.S. and allied toolmakers, and ensure the next decade of growth in chip manufacturing - and the jobs that come with it - happens in the United States and allied countries, not China. Semiconductor manufacturing equipment is a crucial advantage we have against China's military and technological ambitions, and as the Select Committee recently documented in a bipartisan investigation, China exploited loopholes in current export controls to buy chip-making equipment tools as part of its strategy to dominate in chips. There is an urgent need to pass this bipartisan legislation and protect our advantage in chip making." - Select Committee on China Chairman John Moolenaar

"The ability to design and produce semiconductors lies at the heart of the technology competition with Communist China," said Senator Ricketts. "SME is an important dual-use technology. For too long, our export controls have been a patchwork of entity-based restrictions that Beijing easily bypasses using front companies. At the same time, U.S. restrictions on SME are stronger than those of our close allies and partners. This status quo puts American companies last. The MATCH Act strengthens our controls and creates a level playing field for U.S. companies."

"To remain the global leader in the AI race, the United States cannot allow critical technologies to slip through the cracks. The MATCH Act is about closing those gaps and making sure our allies stand shoulder-to-shoulder with us in protecting the tools that power our economy and national defense," said Congressman Rich McCormick. "By aligning export controls, we strengthen our industrial base in tandem with American innovation to ensure that the future of semiconductor manufacturing, and the jobs it creates, remains firmly in the United States and among our trusted partners."

"As the Chairman of the House Subcommittee overseeing export controls, I've seen how China is exploiting access to American and allies chipmaking equipment to modernize its military and pursue global AI dominance. The bipartisan MATCH Act advances the security, economic prosperity, and technological leadership of the United States by protecting critical chipmaking equipment from the Chinese Communist Party." - Congressman Bill Huizenga

"America leads the world in semiconductor technology. That lead was earned strategically and is never guaranteed. When we are out of sync with our allies on vital issues like these, it creates openings that China will be quick to exploit," said Congressman Jefferson Shreve. "The bipartisan MATCH Act brings the United States and our partners into alignment so we can protect the tools and technologies that matter most against our foreign adversaries. This bill ensures fairness for American companies in this field and strength for our national security. If we want to keep the jobs, innovation, and supply chains of the future out of the hands of China, we need to act with clarity and urgency."

"China is moving aggressively to dominate the semiconductor supply chain, and we must work alongside our allies to coordinate our export controls to stop the CCP's efforts. This legislation helps protect American innovation, secure our supply chains, and ensures a level playing field with our allies to counter China's chip production. Most of all, it's a matter of national security" said Congressman Mike Lawler.

Congressman John W. Mannion said, "American workers, innovation, and ingenuity built the world's most advanced semiconductor industry. With the United States ready to lead the next generation of global memory chip manufacturing and research, I'm going to protect that future and make sure we stay ahead. The MATCH Act safeguards the tools, technology, jobs, and know-how that will keep the United States ahead of China and at the leading edge of the 21st century technologies the world depends on."

"The United States should have policies in place to ensure a level playing field for American manufacturing, including export controls to push back against China's efforts to dominate a semiconductor market that is critical to our economy and our national security. I'm proud to be a part of a bipartisan coalition supporting the MATCH Act, which takes a balanced approach to protecting and supporting American innovation and jobs." - Congressman Jared Golden

"America, not China, should lead the world in AI to ensure that AI works for American workers, American innovation, and America's national security," said Congresswoman Maggie Goodlander. "Our bipartisan MATCH Act is about closing dangerous loopholes that China is exploiting, standing shoulder to shoulder with our allies on a level playing field, and winning the AI race against China."

Key provisions of the MATCH Act include:

• Country-Wide Prohibition on "Chokepoint" SME: Prohibits the sale of the most essential SME to any destination inside a country of concern. This includes, at a minimum, Deep Ultraviolet (DUV) immersion lithography and cryogenic etch tools for advanced and legacy chips.
• Tighter Restrictions on China's National Champions: Designates as covered facilities all fabs run by ChangXin Memory Technologies (CXMT), Hua Hong, Huawei, Semiconductor Manufacturing International Corp (SMIC), and Yangtze Memory Technologies Corp (YMTC), including all subsidiaries and affiliates. Applies Entity-List-like restrictions on exports, servicing, and technical support to these facilities of all items subject to the Export Administration Regulations.
• Leverage for Diplomatic Negotiations: Supports diplomatic negotiations with deadlines for aligning controls. Includes a National Security Waiver if additional time is required.
• Creates a Level Playing Field: SME is a critical dual-use component that supports China's military modernization. The MATCH Act ensures that controls will apply uniformly to U.S. and allied countries, in the interests of our collective national security. If allies cannot demonstrate progress within the 150-day deadline, the Act directs the Department of Commerce to implement controls unilaterally. It expands U.S. jurisdiction over foreign-produced items that use U.S. software, technology, or components (applying the "Foreign Direct Product Rule").

MATCH Act Endorsements:

"A strategy that aligns the U.S. and its allies in stopping the flow of advanced semiconductor manufacturing equipment to our adversaries is key to protecting U.S. technological advantages. When foreign suppliers of advanced chipmaking tools are not subject to the same rules as U.S. firms, it undermines the objectives of U.S. export controls. Closing gaps in the export control regime by partnering with our allies first and imposing extraterritorial controls second is a prudent strategy that advances U.S. national security." - Jacob Feldgoise, Senior Data Research Analyst, Center for Security and Emerging Technology (CSET).

"Preserving and enhancing export controls on semiconductor manufacturing are one of the most important things that America can do to win the AI race against China. The MATCH Act is an important tool to help ensure American dominance in this area and to hold our allies' feet to the fire in holding the line on export controls on the most advanced technology humanity has produced." - Dmitri Alperovitch, Chairman, Silverado Policy Accelerator

"For too long, the United States has borne the economic and political costs of semiconductor export controls while leaving room for foreign suppliers to free ride, backfill, or slow-roll their alignment. The MATCH Act creates a simple rule: either our allies match our controls on the most important tools and components for advanced semiconductors, or the United States closes the loopholes itself. That is how you turn a theoretical chokepoint into a real one, securing our AI supply-chain and technology leadership for years to come." - Samuel Hammond, Chief Economist, Foundation for American Innovation

"For years, gaps in semiconductor equipment controls have undermined America's most effective technology denial strategy. Although the United States has acted to restrict chokepoint tools, our allies don't always follow suit - and China continues to exploit the difference." - Ryan Fedasiuk, Fellow, China and Technology, American Enterprise Institute

"The MATCH Act is critical to protecting U.S. and allied dominance in advanced chipmaking, which is the foundation of our leadership over China in AI. Advanced chips are the lifeblood of AI and are one of the few things that China struggles to manufacture, as it cannot make these chips without U.S. and allied equipment. However, China is exploiting loopholes and asymmetries in U.S. and allied export controls on chipmaking equipment and components to purchase hundreds of billions of dollars' worth of advanced tools; chipmaking equipment is the largest export from the Netherlands to China, the second largest from Japan, and the third largest from the United States. The MATCH Act would close many of these loopholes and turn off the tap, which is among the most important steps we can take to preserve long-term U.S. allied leadership in semiconductor production, toolmaking, and AI." - Chris McGuire, Senior Fellow for China and Emerging Technologies, Council on Foreign Relations

"Export controls on chipmaking tools are the foundation of America's technology competition strategy with China. They are directly responsible for U.S. leadership in emerging technologies such as AI and quantum computing and defense technologies of the future. The MATCH Act would decisively close gaps in the controls that risk undermining their effectiveness in the long term, thus giving America an enduring lead in the technologies that will reshape the security landscape." - Saif M. Khan, Former Director for Technology and National Security, National Security Council

"America and its allies have a massive lead over China in advanced AI chip production, but keeping that edge requires that we and our friends be on the same page. Allied export controls on semiconductor manufacturing equipment suffer from meaningful gaps that China continues to exploit. We must ensure our allies align their export controls with American standards - through diplomacy, if possible, but unilaterally if necessary. The stakes are too high to wait." - Chris Griswold, Policy Director, American Compass

"FDD Action supports the MATCH Act, which focuses on strengthening and aligning export controls on semiconductor manufacturing equipment. These tools are essential to protecting U.S. technological leadership and national security. By closing gaps and reinforcing coordination with allies, this bill helps prevent critical technologies from being diverted in ways that could undermine U.S. national security." - Alexandria Paolozzi Moore, FDD Action Senior Director of Government Affairs

You can read the bill text here.