used to engage in a transaction 
that would be a covered national 
security transaction if engaged in 
by a United States person; or 
‘‘(IV) in a derivative of a security 
described under subclause (I), (II), or 
(III); 
‘‘(iv) any ancillary transaction under-
taken by a financial institution (as defined 
in section 5312 of title 31, United States 
Code); 
‘‘(v) the acquisition by a United 
States person of the equity or other inter-
est owned or held by a covered foreign per-
son in an entity or assets located outside 
of a country of concern in which the 
United States person is acquiring the to-
tality of the interest in the entity held by 
the covered foreign person; 
‘‘(vi) an intracompany transfer of 
funds, as defined in regulations prescribed 
in accordance with this title, from a United 
States parent company to a subsidiary lo-
cated in a country of concern or a trans-
action that, but for this clause, would be a 
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covered national security transaction be-
tween a United States person and its con-
trolled foreign person that supports oper-
ations that are not covered national secu-
rity transactions or that maintains covered 
national security transactions that the con-
trolled foreign person was engaged in prior 
to January 2, 2025; 
‘‘(vii) a transaction secondary to a 
covered national security transaction, in-
cluding— 
‘‘(I) contractual arrangements or 
the procurement of material inputs 
for any covered national security 
transaction (such as raw materials); 
‘‘(II) bank lending; 
‘‘(III) the processing, clearing, or 
sending of payments by a bank; 
‘‘(IV) underwriting services; 
‘‘(V) debt rating services; 
‘‘(VI) prime brokerage; 
‘‘(VII) global custody; 
‘‘(VIII) equity research or anal-
ysis; or 
‘‘(IX) other similar services; 
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‘‘(viii) any ordinary or administrative 
business transaction as may be defined in 
such regulations; or 
‘‘(ix) any transaction completed before 
the date of the enactment of this title. 
‘‘(C) 
ANCILLARY
TRANSACTION
DE-
FINED.—In this paragraph, the term ‘ancillary 
transaction’ means— 
‘‘(i) the processing, settling, clearing, 
or sending of payments and cash trans-
actions; 
‘‘(ii) underwriting services; 
‘‘(iii) credit rating services; and 
‘‘(iv) other services ordinarily incident 
to and part of the provision of financial 
services, such as opening deposit accounts, 
direct custody services, foreign exchange 
services, remittances services, and safe de-
posit services. 
‘‘(5) FOREIGN PERSON.—The term ‘foreign per-
son’ means a person that is not a United States per-
son. 
‘‘(6) NOTIFIABLE TECHNOLOGY.— 
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‘‘(A) IN GENERAL.—The term ‘notifiable 
technology’ means a technology with respect to 
which a covered foreign person— 
‘‘(i) designs any advanced integrated 
circuit that is not covered under paragraph 
(8)(A)(iii); 
‘‘(ii) fabricates any integrated circuit 
that is not covered under paragraph 
(8)(A)(iv); 
‘‘(iii) packages any integrated circuit 
that is not covered under paragraph 
(8)(A)(v); or 
‘‘(iv) develops any artificial intel-
ligence system that is not covered under 
clause (vii), (viii), (ix), or (xvi) of para-
graph (8)(A), and that is— 
‘‘(I) designed to be used for— 
‘‘(aa) any military end use 
(such as for weapons targeting, 
target identification, combat sim-
ulation, military vehicle or weap-
ons control, military decision- 
making, weapons design (includ-
ing chemical, biological, radio-
logical, or nuclear weapons), or 
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combat 
system 
logistics 
and 
maintenance); or 
‘‘(bb) any government intel-
ligence or mass-surveillance end 
use (such as through incorpora-
tion of features such as mining 
text, audio, or video, image rec-
ognition, location tracking, or 
surreptitious listening devices); 
‘‘(II) intended by the covered for-
eign person or joint venture to be 
used for— 
‘‘(aa) cybersecurity applica-
tions; 
‘‘(bb) digital forensics tools; 
‘‘(cc) 
penetration 
testing 
tools; or 
‘‘(dd) control of robotic sys-
tems; or 
‘‘(III) trained using a quantity of 
computing power greater than 1023 
computational operations (such as in-
teger or floating-point operations). 
‘‘(B) UPDATES.—The Secretary, in con-
sultation with Congress, may prescribe regula-
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tions in accordance with this title to refine the 
technical parameters of technologies described 
in subparagraph (A) as reasonably needed for 
national security purposes or to add or remove 
categories to or from the list in subparagraph 
(A). 
‘‘(7) PARTY.—The term ‘party’, with respect to 
a covered national security transaction, has the 
meaning given that term in regulations prescribed in 
accordance with this title. 
‘‘(8) PROHIBITED TECHNOLOGY.— 
‘‘(A) IN GENERAL.—The term ‘prohibited 
technology’ means a technology with respect to 
which a covered foreign person— 
‘‘(i) develops or produces any design 
automation software for the design of inte-
grated circuits or advanced packaging; 
‘‘(ii) develops or produces any— 
‘‘(I) electronic design automation 
software for the design of integrated 
circuits or advanced packaging; 
‘‘(II) 
front-end 
semiconductor 
fabrication equipment designed for the 
volume fabrication of integrated cir-
cuits, including equipment used in the 
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