Summary

Requires certain integrated circuit products to include “chip security mechanisms” that verify a device’s location before export or movement within foreign countries, and gives the Secretary of Commerce authority to require, inspect, and track those mechanisms. The measure defines key terms, directs coordination with the Department of Defense, requires licensees to report suspected diversion or tampering, and mandates periodic reports to Congress. The goal is to protect exported chips and computing hardware from theft or misuse while enabling more trusted exports to allied partners.

Key Points

• Requires covered integrated circuits to include location-verifying chip security mechanisms before export or in‑country transfer.
• Gives the Secretary of Commerce authority to set deadlines, require additional security features, verify ownership/location, and record chain-of-custody data.
• Defines key terms and cross-references Export Control Reform Act definitions for export and reexport concepts.
• Mandates licensee reporting of suspected diversion or tampering and authorizes follow-up verification by Commerce.
• Requires coordination with the Department of Defense for technical assessments and prioritizes confidentiality in implementation and reporting.
• Directs the Secretary to report to Congress on implementation, assessments, and any further security measures adopted.

Categories & Tags