Florida Congressman Daniel Webster’s ‘USA Act’, introduced in August, amends the Science portion of the ‘CHIPS & Sciences Act’ to improve U.S. role in standards setting
WASHINGTON, DC – The Coalition for a Prosperous America (CPA) backs a new bill to amend a portion of the ‘CHIPS & Sciences Act’ that would deepen support for our standards system. These standards set the specifications for how emerging technologies must be manufactured in the future. Geopolitical forces are pulling international standards away from the U.S., potentially harming American manufacturers in markets worldwide.
Rep. Daniel Webster’s (FL-11) ‘Utilize Standards for All (USA) Act (H.R. 4906),’ introduced on August 5, directs the National Institute of Standards and Technology (NIST) to coordinate across agencies to ensure the U.S. continues to lead the development of standards that shape how products are made – with a keen focus now on emerging technologies like AI, quantum computing, and cybersecurity.
“The Utilize Standards for All or USA Act is a crucial step in preserving America’s leadership in global technology and industrial development. By codifying a consensus-based, private sector–led approach to standards, this bill reinforces the principles that have long made American innovation competitive,” said Jon Toomey, President of CPA. “At a time when China and the EU are aggressively exporting authoritarian-style standards, it’s vital that the U.S. lead with transparency, due process, and industry expertise. Congressman Webster’s legislation provides the certainty and strategic clarity needed to ensure America—not Beijing—defines the rules of the road for emerging technologies like AI and quantum.”
The USA Act’s goal was highlighted indirectly by Treasury Secretary Scott Bessent on Fox Business this week. Bessent mentioned China’s request for their local tech companies to buy Chinese-made computer hardware, like microprocessing units, instead of imports. China’s rise up the high tech food chain makes it more likely they will be standard setters in the future.
“They don’t want Nvidia to become the Chinese standard,” Bessent said. “They don’t want to have a U.S. standard. We (want) to let the U.S. standard permeate the world. I think that’s one of the ways for the U.S. to exercise both economic and AI dominance.”
Types of standardization models and bodies led by the U.S. include:
- ASTM International – The American Society for Testing and Materials based in Pennsylvania. Its standards are adopted worldwide, especially for oil/gas, manufactured goods, and construction.
- ANSI – American National Standards Institute represents the U.S. in the International Organization for Standardization in Geneva and in the International Electrotechnical Commission in Geneva. They advise and recommend on behalf of U.S. manufacturers but do not set standards.
For small companies and startups, even a minor change to standards can mean tens of thousands of dollars in upgrades. For large manufacturers, if it affects multiple plants, costs can run into the millions of dollars in retooling costs.
Since the mid-2010s, China has been active in standards politics globally. This strategy is laid out in the China Standards 2035 report, which seeks to expand influence in global standard-setting, particularly in emerging tech where China manufacturers dominate or are No. 2 behind the U.S.
The U.S. China Business Council, a DC group advocating for U.S. companies operating in China, said that from 2011 to 2020, the number of Chinese-occupied secretariat positions in technical committees or subcommittees increased by 73% in the International Organization for Standardization, or ISO. In the International Electrotechnical Commission, China increased 67% from 2012 to 2020. China’s Belt and Road infrastructure projects are usually loaded with manufactured goods that are set to Chinese standards, meaning foreign players that want to participate in those projects have to meet Chinese specifications.
“Standards set the blueprint for how the world builds, trades, and connects,” Congressman Webster said in his own statement on August 7. “Secretary Bessent illustrates the importance of U.S. leadership in standards. That’s why I introduced the USA Act to ensure that the United States, not Beijing, remains the global leader by advancing private sector-led voluntary consensus-based standards that allow American innovation to thrive and put our country first.”
CPA believes that if Chinese specifications become the de facto standard in enough markets, Western standards bodies will eventually have to adapt or risk losing relevance. Whoever sets the standard in new technologies can more easily lock in a market for their products.
The America First agenda should be mindful of the importance of standardization setting for U.S. industries.
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