House China panel chair raises questions about legality, fallout from AI chip sales to China

House select committee on China Chairman John Moolenaar (R-MI) is questioning the legality of the Trump administration’s plan to allow two firms to sell advanced AI chips to China, while suggesting the proposed payment of a 15 percent cut to the U.S. government creates an incentive for officials to approve export licenses.

“I am concerned by reports that the U.S. Government will be taking a cut of the proceeds from the sale of advanced H-20 and equivalent chips to China,...