Sponsors (4)
The bill prioritizes national security and domestic sourcing by blocking federal spending on vehicles and powertrains tied to adversary/PRC-linked firms, but that protection comes at the cost of higher procurement and compliance expenses, possible procurement delays, and risks of slowing electric-bus rollout and market innovation.
Federal, state, and local recipients of U.S. transit and infrastructure funds (including transit agencies and federal grant contractors) will be barred from buying vehicles or powertrains tied to adversary/PRC-linked firms, reducing U.S. exposure to foreign technologies and supply‑chain national security risks.
Taxpayers and U.S. manufacturers may benefit because federal dollars are steered away from certain foreign-made buses and powertrains, protecting domestic suppliers and discouraging purchases of potentially subsidized below‑market imports.
The bill increases procurement transparency and alignment with prior national-security procurement policies by requiring a public list of covered entities, establishing narrowly drawn research/inspection exceptions, and aligning DOT/Federal funding rules with existing national-security statutes.
Local and state transit agencies, government contractors, and taxpayers could face higher vehicle and infrastructure costs or fewer supplier options if commonly used manufacturers or powertrains are listed, raising project costs, local taxes, or transit fares.
Recipients of federal funds and multiple federal/state agencies will incur added administrative and contracting burdens to vet suppliers, comply with the list, and document eligibility, increasing overhead for governments and contractors.
Transit fleets and procurement plans could be delayed, disrupted, or require costly replacements or retrofits if currently procured or in-service vehicles contain covered components, hampering fleet modernization and operations.
Based on analysis of 4 sections of legislative text.
Restricts use of DOT transit and other DOT funds to procure buses, powertrains, or related charging/fueling infrastructure from entities tied to specified foreign nations and requires a published list of covered entities.
Official title: To address national security risks and prohibit the use of Federal funds for the procurement of certain vehicles and vehicle technologies produced or provided by entities based in certain countries, and for other purposes.
Introduced July 14, 2025 by Rick Crawford · Last progress July 14, 2025
Prohibits use of federal DOT transit grant funds and most other DOT funds to buy buses or related vehicle powertrains, or to build/maintain charging or fueling infrastructure for those buses, when the vehicles or electric powertrains are produced or provided by entities tied to covered foreign nations (as defined by existing law). Requires the U.S. Trade Representative, consulting DOJ and DOT, to publish and regularly update a list of covered entities that would trigger the prohibition, and allows narrow exceptions for inspections, investigations, and motor vehicle safety research, development, or testing.