rewrite this title Using DeepSeek in the US? You could be fined $1 million and go to jail under proposed law

The rapid rise of Chinese ChatGPT rival DeepSeek has rattled US businesses and the administration alike. In a move to protect the country’s prowess in developing Artificial Intelligence technologies and escalate trade sanctions on China, Republican Senator Josh Hawley has proposed a new law that could heavily penalize those who use any China-made AI tech, such as DeepSeek, in the US.

The bill aims to “prohibit United States persons from advancing artificial intelligence capabilities within the People’s Republic of China, and forother purposes.” It further proposes a ban on the importation of AI tech or intellectual property from China 180 days after the enactment of the law. That means anyone using or distributing China-made AI tech could be found in violation of the proposed law.

Criminal penalties include fines of up to $100 million for entities and $1 million for individuals. Meanwhile, civil penalties include three times the damages sustained by the US government. Offenders will also become ineligible for federal contracts, licenses, and financial assistance for five years.

While the bill doesn’t specify DeepSeek, the AI startup is already on the US government’s radar as a potential security threat and a threat to US-based AI companies. As The Independent notes, President Trump has called the AI app a “wake-up call” for America, while the US Navy and NASA have banned the use of the service.

Apart from a ban on importing AI tech from China, the proposed law also prohibits the export, reexport, or in-country transfer of AI technology from the US to China, an expected move given the ongoing trade tensions between the two countries.

If the bill becomes law, US citizens will also be prohibited from conducting AI R&D in China, collaborating with Chinese entities, or sharing AI research with Chinese nationals tied to the Chinese government or military.