Trump Declares National Emergency to Secure U.S. Bulk-Power System Against Foreign-Made Equipment
President Donald Trump on Wednesday declared a national emergency over foreign-produced equipment used in the U.S. bulk-power system, giving the Energy Department broad authority to restrict future purchases, imports, transfers and installations if they are found to pose national-security or supply-chain risks.
The White House published the order, titled “Declaring a National Emergency to Secure the United States Bulk-Power System,” as Executive Order 14420 on Aug. 26, 2026, along with a fact sheet. The fact sheet said, “The Order declares a national emergency under the International Emergency Economic Powers Act and the National Emergencies Act.”
The practical significance is broad: the order not only opens the door to blocking future transactions involving some foreign-produced grid equipment, but also allows the government to impose conditions on some equipment already operating on the U.S. power grid. Under the order, the Energy Department may require certain previously installed foreign-manufactured or foreign-operated equipment to be identified, isolated, monitored, secured, disconnected, replaced or removed.
Trump’s order cites threats tied to the foreign supply of bulk-power system electric equipment, including sabotage, malicious remote access or hidden “backdoors,” supply-chain disruption, and potentially catastrophic effects on critical infrastructure and the economy. It authorizes action against “any acquisition, importation, transfer, or installation of any foreign-produced bulk-power system electric equipment” when the government determines the transaction creates the kinds of risks described in the order.
The secretary of Energy is the lead official for carrying out the directive, working in coordination with the Office of Management and Budget and in consultation with senior officials including the secretaries of Defense, Commerce and Homeland Security, as well as the director of national intelligence. The order says the prohibition can apply when equipment is designed, developed, manufactured or supplied by people or companies owned by, controlled by, or subject to the jurisdiction or direction of a “Covered Foreign Entity,” and when the transaction poses specified security or supply-chain dangers.
The timeline is relatively fast. The order directs the Energy secretary to publish rules or regulations within 120 days. It also tells the secretary to submit recommended changes to the Federal Acquisition Regulation, the government’s main procurement rulebook, within 180 days. After receiving those recommendations, the Federal Acquisition Regulatory Council has 90 days to consider proposing amendments for public comment.
The order’s reach is extensive, though not unlimited. It defines the bulk-power system to include transmission networks and generation needed to maintain reliability, including transmission lines rated at 69 kilovolts or more. Covered equipment includes items such as substation transformers, inverters, battery energy storage systems, protective relaying, circuit breakers and industrial control systems. The order does not name any specific countries, companies or utilities, leaving those determinations to the Energy Department during implementation. It also allows the department to create a pre-qualified list of vendors and equipment, while preserving the secretary’s authority to restrict transactions involving those suppliers.
The move revives and expands a similar Trump effort from May 2020, Executive Order 13920, also aimed at securing the bulk-power system. Under that earlier framework, the Energy Department issued a prohibition order on Dec. 17, 2020, covering certain equipment serving designated critical defense facilities. That order was revoked in April 2021 during a policy reevaluation. The new 2026 order is a renewed and broader version of that push.
The legal backdrop also matters. In Learning Resources, Inc. v. Trump, decided Feb. 20, 2026, the U.S. Supreme Court said the International Emergency Economic Powers Act does not authorize the president to impose tariffs. This order does not impose tariffs. Instead, it uses IEEPA, along with the National Emergencies Act and Section 301 of Title 3 of the U.S. Code, to regulate or prohibit certain transactions involving grid equipment.
The order also directs the administration to make required reports to Congress under the emergencies and economic powers laws. Energy Secretary Chris Wright is expected to lead the next phase, which will determine through rulemaking how broadly the new restrictions are applied and what conditions may be imposed on equipment already in use.