Trump Declares National Emergency Over Foreign-Made Power Grid Equipment
President Donald Trump signed an executive order on Wednesday declaring a national emergency over foreign-made equipment in the U.S. electric grid, citing the growing need for power as making the system a target for hostile governments. The order blocks companies from buying, importing, or installing certain foreign-made parts used in what the government calls the bulk-power system—the network of high-voltage lines, substations, and power plants that transmits electricity across the country.
The order warns that foreign-built equipment could contain hidden digital "backdoors" in its software—secret access points that would let another country control or shut off the equipment. It applies to countries under U.S. arms embargoes or sanctions, or governments the administration decides are working against American interests. China is not named in the order, but the action follows years of concern about Chinese-made grid parts.
Under the executive order, the Energy Department can prohibit the acquisition, importation, transfer, or installation of foreign-produced bulk-power equipment if officials determine the transaction involves a covered foreign entity and poses an unacceptable security risk. For equipment already operating on the U.S. grid, the energy secretary can require it to be identified, isolated, monitored, secured, disconnected, replaced, or removed—potentially forcing utilities and infrastructure operators to make changes to existing systems.
These provisions could carry financial and operational consequences for the power sector, though the order does not estimate potential costs or identify which equipment or vendors could ultimately be affected. It also does not impose a blanket ban on all foreign-made grid equipment.
The administration said the restrictions are necessary because foreign-produced equipment could contain vulnerabilities, including digital backdoors capable of providing remote access to critical infrastructure. The White House also argues that reliance on foreign suppliers leaves the U.S. vulnerable to equipment shortages caused by trade disruptions or other supply shocks.
The stakes have increased as artificial intelligence, data centers, advanced manufacturing, and defense production drive greater demand for reliable electricity, according to the order. The equipment potentially covered spans major pieces of grid infrastructure, including transformers, generators, battery energy storage systems, grid-connected inverters, turbines, and industrial control systems, as well as associated software, firmware, and remote-access capabilities.
The order directs officials to weigh reliability and safety, the availability of secure replacement equipment, and continuity of essential service before requiring equipment to be isolated, disconnected, replaced, or removed. The Energy Department has 120 days to publish implementing rules or regulations as needed. Within 180 days, the energy secretary must recommend changes to federal procurement rules aimed at addressing national security risks and prioritizing U.S.-manufactured energy infrastructure in federal procurement.
The move mirrors Washington's earlier actions against Chinese telecom suppliers Huawei and ZTE, which were pressed on allies and later blacklisted by U.S. regulators. The order follows a decision by the European Commission earlier this year to ban Chinese-made inverters from publicly funded energy projects. Last year, Reuters reported that rogue communication devices not listed in product documents had been found in some Chinese solar power inverters by U.S. experts who strip down equipment hooked up to grids to check for security issues.