The bullet by StarChase in Virginia Beach, Va., is designed to make high-speed chases safer by allowing authorities to track suspects without risk to life.
Fired from a police car, the bullet sticks to the suspect vehicle, broadcasting a signal that allows pursuing police to back off while pinpointing the vehicle's speed and location in near real time.
StarChase says it wants to bring the system -- already in use in Iowa, Florida, Arizona and Colorado -- to Britain.
The GPS tracking offers important tactical options for police, Trevor Fischbach, president of StarChase, said.
"We've already made a difference, from rescuing little girls from human trafficking to stopping drivers under the influence," he said.
Dave Allen of Britain's Leeds University has co-authored a report into the possible use of the technology by British police forces.
"This sounds like interesting technology and there is a clear operational use for it," he told the BBC. "I think the costs will fall rapidly and we will see them being used routinely in the not so distant future."
The StarChase system costs $5,000 to install in a police vehicle and each bullet costs $500.