Lawmakers at a Townhall Live panel argued that President Trump’s federal AI plan, backed by a unified regulatory approach and an aggressive energy policy, is essential for the United States to outcompete China and avoid a patchwork of state rules that would hobble industry.
President Trump released his AI Action Plan in July, and his early executive action, Executive Order 14179, set the stage for a nationwide strategy centered on innovation, infrastructure, and international diplomacy and security. The plan rejects what it calls “radical climate dogma and bureaucratic red tape” and aims to keep American AI leadership on the global stage. Republicans on the panel said federal clarity is necessary so industry can scale without facing conflicting state laws.
Townhall Live staged a panel focused on AI and cryptocurrency with Republican Senators Bernie Moreno of Ohio, Steve Daines and Tim Sheehy of Montana, and Cynthia Lummis of Wyoming. Scott Jennings moderated while Larry O’Connor emceed, and the senators used the discussion to press for national policy rather than 50 separate state frameworks. Their central point was consistent: a federal framework and an America-first energy stance are strategic necessities.
Senator Moreno framed the competition starkly and urged a single national approach. “First of all, as we all know, this is a binary race between America and China. Europe is unfortunately completely lost in the weeds here. So we have to win, and the only way we can win is by having one unified view of how we’re going to put the guardrails up for AI,” said Senator Moreno. He stressed that the U.S. cannot afford a fractured regulatory landscape.
Energy capacity and policy were recurring themes as the senators connected power supply to technological strength. Senator Daines warned that China has rapidly scaled energy infrastructure and cited ten-year capacity comparisons to make the point that the U.S. must accelerate. “If you look at the energy that we had, capacity, ten years ago, it was around 1.3 terawatts. These are big numbers. China was about the same level we’re ten years ago. We moved from about 1.3 to 1.5 terawatts capacity in the last ten years. China went from 1.1 to 3.5. They built ten times more energy capacity than we did in the last ten years. And we need 50 to 80 percent more energy in the next ten to 15 years than we consume today. And thank God President Trump won the election, and thank God that we have a Republican majority in the Senate and the House to move forward with this.”
Moreno tied energy policy to practical technology deployment, arguing states that rely on cheap, abundant power will win the data center and AI race. He emphasized traditional and emerging sources: “The four of us represent states where coal was under attack. So we need to make certain that we preserve coal as an affordable, abundant energy source,” Moreno said. “Natural gas is big in my state. Small modular nuclear is starting to come back in. I think there’s a role for solar. I think you need all those things. And of course, drill, baby, drill. We are now the largest energy exporter on earth, and I think that’s all due to President Trump’s policies.”
The senators were also in agreement that Congress should step in with a uniform federal approach before states write their own rules. Senator Sheehy reminded the audience of a past European mistake and warned against repeating it here. “”I think it’s worth double-tapping the 50-state patchwork because folks, I think, especially on our side of the aisle who think that state-based regulation for AI is potentially a good idea, look what happened to Europe,” Sheehy said. “They had a 36-state patchwork for the internet in the late 90s. They said each nation-state in the EU is going to make their own regulatory framework for the internet. And they did, and the result was Europe has become an economic backwater because tech companies like Google and Facebook and Twitter, now X, decided we’re not going to waste our time investing in a continent, in a region that can’t decide what it wants.”
Communication strategy and public messaging also came up, with Moreno arguing Republicans must tell working Americans how AI will boost productivity and wages. He insisted tax incentives for data centers should be handled carefully and that companies should bear responsibility for environmental impact and energy production. “I believe the solution is we’ve got to go on offense on communications,” Moreno said. “What does that mean? The time for tax incentives to build data centers is over. These companies have lots of money; there should be no taxpayer money funding that. Secondly, we need to talk about environmental impact. One of the reasons a lot of this is happening in America is because we have Lee Zeldin running the EPA.”
Patents, industrial momentum, and a tech-centered market structure were also discussed as part of the competition narrative. Senator Daines singled out recent patent data to underscore Chinese advancement. “Last year, the Chinese were granted more patents. Seventy-four percent of the AI patents last year went to the Chinese. Twelve percent went to Americans,” Daines said. That statistic fueled calls for policy that keeps research, data centers, and crypto innovation based in the U.S.
Cryptocurrency policy tied into the broader theme of economic competitiveness, and senators praised efforts to provide regulatory clarity. Moreno praised market-structure moves and defended stablecoins against alarmist claims. “Stablecoins are not a threat to any bank. In fact, deposits have grown since the Genius Act came out. You can have an opinion, but you can’t have your own facts,” Moreno said. Lummis added that clearer rules will make it possible for regulated entities to understand where they fit and invest with confidence.
The panel closed with an appeal to American exceptionalism and a reminder of political stakes ahead. “Ultimately, we’re the last best hope of the world to defend Western Civilization,” Jennings said. “And this takes on many forms.” Senators emphasized that a coordinated federal AI framework, a robust energy strategy, and pro-growth crypto policy are linked pieces of a plan to keep the U.S. dominant in the technology era.
Editor’s Note: The 2026 Midterms will determine the fate of President Trump’s America First agenda. Republicans must maintain control of both chambers of Congress.
