US President Donald Trump is weighing a sweeping executive order that could override state-level AI regulations. This marks his most aggressive push yet to unify the country’s AI policy. A draft of the order, seen by Reuters on 21st November, shows that the plan would use federal lawsuits and the threat of withholding broadband funding. It aims to challenge state laws that the administration argues hinder innovation.

The draft proposes creating an “AI Litigation Task Force,” led by Attorney General Pam Bondi. This task force would contest state AI rules on grounds such as unconstitutional limits on interstate commerce. Also, it would address conflicts with federal regulations. It would also direct the Commerce Department to review state laws. Furthermore, it would issue guidance that could restrict funding in some cases.

The effort comes months after the Senate voted 99–1 against a similar attempt to block state AI laws. This move was fiercely opposed by lawmakers and attorneys general from both parties. They argued such restrictions would weaken states’ ability to protect residents from fraud, deepfakes, and child-safety risks.

The debate resurfaced after Trump this week endorsed a Republican push to attach a comparable measure to the National Defence Authorisation Act (NDAA). This endorsement drew new objections from both Democratic and Republican lawmakers.

The draft order also calls on White House legislative director James Braid and AI czar David Sacks to recommend federal legislation preempting state AI rules. It directs agencies to explore ways to curb them. It singles out California’s AI disclosure law as “complex and burdensome.” Moreover, it criticises Colorado’s anti-bias law. Specifically, it objects to potentially requiring AI models to incorporate diversity, equity, and inclusion (DEI) principles by design.

A White House official told Reuters that any talk of executive action remains speculative until formally announced.

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