Trump blocks state AI laws as Commerce names onerous state regulations for federal preemption

The Commerce Department publishes a list of state AI laws it has designated as "onerous" under Trump's December 2025 executive order on AI preemption, signaling they will be federally preempted. States named include California's AB 2013 algorithmic transparency law, Illinois' AI Video Interview Act, and New York City's Local Law 144 on AI in hiring. The FTC simultaneously announces it will not enforce Biden-era AI guidance in states that have their own stricter rules. Consumer groups warn the coordinated action creates a regulatory vacuum for AI discrimination in hiring, lending, and housing that will take years to fill.