President Trump declares national emergency over foreign bulk-power equipment

On August 26, 2026, President Donald J. Trump issued Executive Order 14421, declaring a national emergency concerning the United States bulk-power system. The order, published in the Federal Register Vol. 91, No. 167 (FR Doc 2026-17843, pp. 55995-55999), cites foreign-produced electric equipment as an "unusual and extraordinary threat" to national security, foreign policy, and the economy.

Section 2(a) prohibits any acquisition, importation, transfer, or installation of foreign-produced bulk-power system electric equipment - or any critical component, software, firmware, digital service, maintenance service, or remote-access capability - when the Secretary of Energy, in coordination with the OMB Director and after consultation with the Secretaries of War, Commerce, Homeland Security, the Director of National Intelligence, and other heads, determines the transaction involves a Covered Foreign Entity and poses an undue risk of sabotage, catastrophic effects, or other unacceptable national-security threats.

The order also authorizes the Secretary of Energy, in consultation with the same officials, to impose conditions on equipment already in use, including isolation, monitoring, replacement, or removal, subject to reliability and safety considerations and phased compliance (Section 2(b)). Section 2(e) permits the Secretary to establish criteria for "pre-qualified" equipment and vendors that may be exempt from the prohibition, and to publish a corresponding list.

Under Section 3, the Secretary of Energy may direct cessation of pending and future prohibited transactions, order replacement of high-risk equipment, and issue rules and regulations that define Covered Foreign Entities, identify at-risk equipment, and set licensing procedures. Agency heads are directed to take all appropriate measures within their authority to implement the order.

The prohibitions apply to transactions initiated after August 26, 2026 and supersede any prior contracts, licenses, or permits, unless exempted by statute, regulation, or a license issued pursuant to the order.