WHITE HOUSE DECLARES NATIONAL EMERGENCY OVER FOREIGN-MADE BULK-POWER EQUIPMENT AND CYBER BACKDOOR RISKS

WASHINGTON — President Donald J. Trump has declared a national emergency over foreign-produced equipment used in the U.S. bulk-power system, citing growing concerns that foreign actors could exploit digital backdoors, remote-access capabilities, software, firmware, and supply-chain dependencies to disrupt the nation’s electric grid.

The executive order, signed on August 26, 2026, targets certain foreign-produced equipment used in high-voltage transmission systems, substations, control rooms, power-generation facilities, and other critical components of the bulk-power system. The White House said the threat has become more acute as the United States becomes more dependent on reliable electricity for advanced manufacturing, artificial intelligence, data centers, defense production, emergency services, and other critical infrastructure.

The order declares that foreign supply of bulk-power system electric equipment can present an “unusual and extraordinary threat” to U.S. national security, foreign policy, and the economy.

The White House specifically warned that some foreign-produced equipment may contain digital backdoors capable of allowing remote access by a foreign government. It also cited the risk that international supply disruptions could affect the availability of critical electrical equipment needed to operate and maintain the grid.

The executive order does not impose a blanket prohibition on every foreign-made electrical component.

It prohibits certain acquisitions, imports, transfers, or installations when the Secretary of Energy determines that the equipment, software, firmware, digital services, maintenance services, or remote-access capabilities are connected to a covered foreign entity and create an unacceptable national-security or operational risk.

Those risks include sabotage, subversion, unauthorized access, malicious remote action, supply disruption, catastrophic effects on critical infrastructure, or other threats to U.S. national security and public safety.

The scope of the order includes transmission lines rated at 69 kilovolts or higher, along with equipment used in substations, control rooms, and generating stations.

Covered equipment can include transformers, generators, battery energy storage systems, industrial control systems, programmable logic controllers, remote terminal units, intelligent electronic devices, protective relays, circuit breakers, turbines, distributed control systems, safety instrumented systems, and associated software and firmware.

Facilities used solely for local electricity distribution are excluded from the bulk-power definition.

The Secretary of Energy is given broad authority to review transactions involving foreign-produced bulk-power equipment and may impose conditions on equipment already installed before the order took effect.

Those conditions can include requirements to identify, isolate, monitor, secure, disconnect, replace, or remove equipment considered an unacceptable risk.

Before requiring isolation or replacement, the Secretary must consider electric reliability, public safety, availability of secure replacement equipment, and continuity of essential services.

The order also directs federal officials to identify existing bulk-power equipment that may present an unacceptable foreign-supply risk and develop recommendations for how those systems should be inventoried, monitored, isolated, or replaced.

Within 120 days, the Secretary of Energy is directed to publish implementing rules or regulations as necessary.

The government may also establish a list of pre-qualified equipment and vendors that meet security requirements for future transactions.

The order also directs a review of federal procurement rules governing energy infrastructure.

Within 180 days, the Energy Department must submit recommended revisions to the Federal Acquisition Regulation designed to strengthen national-security considerations in federal energy-infrastructure purchases and prioritize U.S.-manufactured equipment.

The Federal Acquisition Regulatory Council will then consider whether to propose corresponding regulatory amendments.

The executive order comes amid heightened concern over cyber threats targeting industrial control systems and critical infrastructure.

CISA has warned that internet-exposed systems can create significant risks and has urged organizations to identify exposed assets, remove unnecessary external exposure, secure systems that must remain accessible, and remediate vulnerable infrastructure.

Federal cybersecurity agencies have also previously warned that foreign state-sponsored actors have demonstrated sustained interest in U.S. critical infrastructure.

CISA, the FBI, and NSA have documented Chinese state-sponsored activity designed to establish persistent access inside U.S. critical-infrastructure networks, while Iranian-affiliated actors have previously exploited programmable logic controllers used across multiple sectors, including water and wastewater systems.

The August 26 executive order does not identify a specific country as the sole target of the new restrictions.

Instead, it directs federal agencies to determine which countries, entities, suppliers, and equipment warrant particular scrutiny based on ownership, control, jurisdiction, and national-security risk.

The administration’s approach treats foreign dependence in bulk-power technology as both a cybersecurity problem and a supply-chain security problem.

A compromised device could create an avenue for remote access or malicious control, while dependence on a foreign supplier could create operational disruption if replacement equipment, software updates, maintenance, or critical components become unavailable.

The White House said the order is intended to protect the security, integrity, and reliability of the U.S. bulk-power system while reducing the risk that foreign-controlled technology could become an access point into critical infrastructure.

For utilities and operators, the immediate impact will depend on how the Energy Department defines covered foreign entities, which equipment is designated high risk, and what implementing rules are issued during the next several months.

The order establishes the framework. The next phase will determine which vendors, components, software, and foreign jurisdictions are restricted or subjected to additional conditions.

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