The narrative is being set for open weights to be banned globally, unless they are so restricted that they cannot possibly compete with us companies products and affects their bottom lines.
I think this only sets the narrative for USA, but pushes the rest of the globe into open weight. The rest of the world, having experienced the current US administration, undoubtedly realizes this is the only thing that might protect you from the powerful models the US has. Small economies and countries cannot compete otherwise and are vulnerable to military and economic spying
Anyone old enough to remember Phil Zimmerman and Pretty Good Privacy, the last time the US government tried to outlaw math?