A new executive order targets hardware, software and remote-access services and could require operators to isolate or replace equipment already in use.
President Donald Trump declared a national emergency this week over foreign-made technology in the U.S. power grid, giving the Energy Department broader authority to block equipment, software and services that officials determine could allow an adversary to disrupt or remotely access the electricity system.
The executive order prohibits the purchase, import or installation of certain foreign-produced equipment when the Energy Department determines that it is connected to a covered foreign entity and presents an unacceptable national security risk.
The department must determine which countries, vendors, products and transactions present enough risk to warrant restrictions within 120 days.
The order focuses on the bulk-power system — the high-voltage generation and transmission infrastructure that moves electricity over long distances — rather than the local lines that deliver power to homes and businesses. It covers transmission infrastructure operating at 69 kilovolts or higher but excludes local distribution facilities.
Affected technology could include transformers, generators and other industrial control equipment used to operate power plants or substations. Energy may examine associated software, firmware, remote-access capabilities and the mechanisms vendors use to update equipment throughout its lifespan.
That provision reflects concern that foreign suppliers could build hidden access into grid equipment or retain the ability to reach it remotely after installation. The administration also contends that reliance on overseas manufacturers could leave the United States without critical replacement parts during disruptions in international trade.
The directive does not name China or any individual company. Covered foreign entities include countries subject to certain U.S. arms embargoes or sanctions, as well as people and companies controlled by or operating under the direction of those governments. Energy can also designate other countries or entities whose conduct it determines is harmful to U.S. national security or foreign policy.
But the spectre of China appears to loom over the policy. During Trump’s first term, the Energy Department used a similar 2020 executive order to prohibit certain Chinese equipment from being installed by utilities serving critical defense facilities.
The move also comes amid broader warnings about Chinese efforts to establish access inside American infrastructure before a potential conflict. U.S. agencies assessed in 2024 that the state-backed hacking group Volt Typhoon had compromised multiple critical infrastructure organizations, including in the energy sector, and was seeking covert access that could be used to disrupt essential services during a crisis involving Taiwan.
The Thursday order does not estimate how much replacement or mitigation efforts could cost.
The White House also tied the action to increasing electricity demands. The rapid growth of data centers, which has become a political flashpoint as midterm elections approach, has made electricity access more important and increased the potential consequences of a successful attack or supply disruption, a White House fact sheet argues.