TRACE Act

Technological Resource to Assist Criminal Enforcement (TRACE) Act - Amends the Brady Handgun Violence Prevention Act to require a licensed manufacturer or importer of firearms to: (1) test fire manufactured or imported firearms as specified by the Attorney General; (2) prepare ballistics images of the fired bullet and cartridge casings; (3) make the records available to the Attorney General for entry into an electronic database; and (4) store the fired bullet and cartridge casings.

Directs the Attorney General to assist firearm manufacturers and importers in complying with these requirements by: (1) acquiring, installing, and upgrading ballistics equipment and bullet and cartridge casing recovery equipment; (2) hiring or designating sufficient personnel to develop and maintain a ballistics database; (3) providing education about the role of ballistics; and (4) providing for the coordination among law enforcement, regulatory agencies, and the firearm industry to curb firearm-related crime and illegal firearm trafficking.

Requires the Attorney General to: (1) establish an electronic database through which State and local law enforcement agencies can promptly access ballistics records that shall not include any identifying information regarding dealers, collectors, or purchasers of firearms; (2) require training for all ballistics examiners; (3) conduct mandatory ballistics testing of all firearms obtained or in the possession of the Department of Justice; and (4) report to Congress on the implementation of this Act.

Prohibits the use of ballistics information of individual guns for prosecutorial purposes unless officials have a reasonable belief that a crime has been committed and that ballistics information would assist in the investigation.