Sponsor
Scott Perry
Representative · R-PA
Representative · R-PA
The bill strengthens and regularizes identification and reporting of risky foreign equipment and China-linked entities to better protect infrastructure and aid private-sector compliance, but it also enables faster or less-transparent listings that can impose significant costs, reputational harms, agency burdens, and potential diplomatic fallout.
Taxpayers, consumers, utilities, and other operators of critical infrastructure benefit from more systematic identification and listing of risky foreign-origin communications equipment and China-linked companies, improving protection of national infrastructure and reducing exposure to foreign-actor risks.
Congress, federal agencies, and oversight bodies gain more timely, regular, and predictable visibility because agencies must report determinations quickly (with classified annexes permitted) and DoD must perform annual identification, improving transparency and accountability.
Banks, tech firms, utilities, and other private-sector actors get clearer, more regular guidance about which entities may be linked to Chinese military interests or pose equipment risks, aiding compliance, risk management, and internal due diligence.
U.S. businesses, distributors, and consumers could face rapid blacklisting and restrictions that disrupt supply chains, force costly replacements or removals of equipment, increase prices, and harm workers and small businesses.
Designated foreign entities and their affiliates (and firms that deal with them) may suffer reputational and market harms without a transparent public evidence standard or robust due-process protections, raising fairness and legal concerns.
The automatic-listing fail-safe and expedited processes risk false positives that could restrict equipment or services that are actually safe before a thorough review is completed.
Based on analysis of 3 sections of legislative text.
Requires federal security reviews and FCC action to identify and list certain foreign communications/robotics firms as national security risks and prompts DoD review for Chinese military company designation.
Official title: To require a review of the national security risk posed by communications equipment and services produced or provided by certain entities, and for other purposes.
Introduced July 14, 2026 by Scott Perry · Last progress July 14, 2026
Requires federal national security officials to review specified foreign communications and robotics companies and determine within one year whether their equipment or services pose unacceptable risks to U.S. national security or the safety of U.S. persons. If agencies fail to act or make affirmative findings, the FCC must place the listed products on its covered list; affirmative findings also trigger mandated reports to Congress and FCC action. Directs the Secretary of Defense, as part of an existing annual review process, to decide whether any of the named entities should be designated as a "Chinese military company" operating in the United States and report accordingly.