It is much worse. I hope I am reading it wrong, but:
The term ‘‘technology’’ […] includes […] any semiconductor, circuit board, operating system, graphics processing unit, central processing unit, tenor processing unit, field-programmable gate array, random access memory, hard drive, solid-state drive, dataflow architecture, or cloud-computing service, that is manufactured, designed, developed, supplied, deployed, completed, […] [etc.] to function artificial intelligence […] and any other hardware, software, equipment, device, component, robotic computer, processor, network […] that is manufactured, designed, developed, supplied, deployed, […] [etc.] to function artificial intelligence or generative artificial intelligence.
This would mean that importing and exporting literally any piece of IT equipment, from a Ubuntu installer to a RAM chip, is illegal. Good luck & have fun.
I’d like to point out that it is only one single proposal. If this does not get shut down, then it is time to be worried. But for now, it might just be one glue-sniffing Congressperson sniffing the wrong kind of glue one morning.