Seven Republican senators sent a letter to Secretary of Commerce Howard Lutnick urging the Trump administration to withdraw the Biden-era Artificial Intelligence Diffusion Rule (AIDR).
The senators argue that the rule, which imposes tiered restrictions on global access to U.S. AI technology, threatens American innovation and global competitiveness while failing to adequately counter China’s ambitions.
“With the compliance deadline of May 15, 2025, rapidly approaching, immediate action is necessary to prevent irreversible damage to American innovation and competitiveness,” the senators wrote. “Every day this rule remains in place, American companies face mounting uncertainty, stalled investments, and the risk of losing critical global partnerships that cannot be easily regained.”
Although the AI Diffusion Rule was published as an Interim Final Rule, it took immediate effect. Exporters, reexporters, and in-country transferors, however, are not required to comply with the changes made in the rule until May 15, 2025, respectively. BIS Chief Jeffrey Kessler has expressed skepticism about the AI Diffusion Rule, questioning its effectiveness in addressing national security risks and signaling his intent to revisit its implementation.
The lawmakers expressed concern that the AIDR’s country-tiering framework—granting full access only to 18 Tier 1 countries and imposing strict limits on Tier 2—excludes key allies such as Israel and incentivizes international partners to turn to China’s alternatives. The letter contends that the regulation’s complexity burdens U.S. firms while providing little practical security benefit.
“We urge you to withdraw this rule and propose an alternative that is effective in preventing Communist China from capturing the world market in a leading technology without compromising American advantages,” the senators concluded.
The letter was co-signed by Senators Thom Tillis (R-NC), Markwayne Mullin (R-OK), Ted Budd (R-NC), Roger Wicker (R-MS), Eric Schmitt (R-MO), and Tommy Tuberville (R-AL).
Read the full letter here
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