Sec. 6083. Prohibition on prioritizing countries of concern over United States persons for exports of advanced integrated circuits
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Part I of the Export Control Reform Act of 2018 ( 50 U.S.C. 4811 et seq. ) is amended by inserting after section 1758 the following: Except as provided by paragraph (2), the Under Secretary of Commerce for Industry and Security shall require a license for the export, reexport, or in-country transfer of an advanced integrated circuit or a product containing such a circuit. The requirement for a license under paragraph
(1)does not apply with respect to the export, reexport, or in-country transfer of an advanced integrated circuit or a product containing such a circuit to or in a country that is listed in Country Group A:4, A:5, or A:6 in Supplement No. 1 to part 740 of the Export Administration Regulations. The Under Secretary shall require a person submitting an application for a license to export, reexport, or in-country transfer an advanced integrated circuit or a product containing such a circuit to or in a country subject to a comprehensive United States arms embargo or a country of concern to certify in the application that— United States persons had a right-of-first-refusal for the circuit or product, which means the person submitting the application— upon reaching the decision to enter into a transaction for the sale of such a circuit or product to a person in a country subject to a comprehensive United States arms embargo or a country of concern, provided, in a manner accessible to United States persons, a notice of— intent to sell the circuit or product to the person in that country; and the terms of the transaction, including the price and quantity of the circuit or product involved in the transaction; allowed not less than 15 business days for United States persons to request to purchase the full quantity or a lesser quantity of the circuit or product on the terms (other than quantity) specified under clause (i); and provided preference to United States persons that requested to purchase the circuit or product over the person in the country described in clause (i); and the person submitting the application— has no current backlog of requests from United States persons for the circuit or product or a comparable circuit or product; cannot foresee the export, reexport, or in-country transfer of the circuit or product resulting in such a backlog or a reduction in the capacity of production lines for the production of the circuit or product for United States persons; and is not providing advantageous pricing or terms for the circuit or product to foreign persons that the person is not providing to United States persons. If a certification described in paragraph
(1)is not submitted with an application for a license described in that paragraph, the Under Secretary shall deny the application. Not later than 90 days after the date of the enactment of this section, the Under Secretary shall prescribe regulations providing guidance for complying with the certification requirement under paragraph (1), which shall include— a description of the acceptable formats for the notice required by paragraph (1)(A)(i); establishment of a portal that allows— persons applying for a license under this section to submit details regarding intended sales of advanced integrated circuits and products containing such circuits; and United States persons to view those details and submit requests to purchase such circuits or products pursuant to paragraph (1)(A)(ii); procedures for handling multiple requests for an intended sale of such a circuit or product, which shall allow for combining requests for lesser quantities of the circuit or product to match the full quantity offered for sale; recordkeeping requirements; penalties for misrepresentation and concealment of material facts; and metrics and procedures by which to determine whether— the export, reexport, or in-country transfer of a circuit or product would create— a backlog of requests described in paragraph (1)(B)(i); or a reduction in capacity described in paragraph (1)(B)(ii); and the person selling the circuit or product is providing advantageous pricing or terms described in paragraph (1)(B)(iii) to foreign persons. In this section, the term advanced integrated circuit means an integrated circuit (as defined Export Control Classification Number 3A090 in the Commerce Control List) that has one or more digital processing units with— a total processing performance of 2,400 or more and a performance density of 1.6 or more; a total processing performance of 1,600 or more and a performance density of 3.2 or more; or a total DRAM bandwidth of 1,400 gigabytes per second or more, interconnect bandwidth of 1,100 gigabytes per second or more, or a sum of DRAM bandwidth and interconnect bandwidth of 1,700 gigabytes per second or more. In this section, the term Commerce Control List means the list set forth in Supplement No. 1 to part 774 of the Export Administration Regulations. In this section, the term country of concern means a country that the Director of National Intelligence assesses is hosting, or has the intention of hosting, a military or intelligence facility associated with a country subject to a comprehensive United States arms embargo. In this section, the terms performance density and total processing performance have the meanings given those terms in, and are calculated as provided for under, Export Control Classification Number 3A090 in the Commerce Control List. .
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Sec. 6083
Prohibition on prioritizing countries of concern over United States persons for exports of advanced integrated circuits
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