The bill enhances DoD supply-chain security by barring carriers tied to Chinese military entities and requiring certifications with penalties for false statements, but it increases compliance costs, creates regulatory uncertainty, and may reduce carrier availability leading to higher costs or logistics delays.
Taxpayers and the military: DoD shipments will be less likely to use motor carriers tied to Chinese military companies, reducing risk of compromise to U.S. military logistics and national-security supply chains.
Government contractors and subcontractors: Required flow-down of certifications increases visibility into freight transport supply chains, improving DoD oversight and supply-chain transparency.
Government contractors: Criminal penalties and suspension/debarment for false certifications create stronger deterrence against fraud, supporting contracting integrity and accountability.
Government contractors, subcontractors, and taxpayers: A broad prohibition on carriers with ties to Chinese military entities could shrink the pool of eligible DoD freight carriers, raising shipping costs and risking delays in military logistics.
Government contractors and transportation workers: New obligations to perform 'reasonable inquiry' and retain certifications for five years will impose direct compliance costs on carriers and subcontractors.
Government contractors and carriers: Delegating the definition of 'significant business relationships' to the Secretary creates regulatory uncertainty until the definition is finalized, complicating planning and compliance.
Based on analysis of 6 sections of legislative text.
Requires motor carriers and DoD transportation contractors to certify they are not owned/controlled by listed Chinese military companies, retain records, and establishes a DoD carrier registry.
Introduced March 12, 2026 by Thomas Bryant Cotton · Last progress March 12, 2026
Requires motor carriers and all tiers of contractors that move Department of Defense surface cargo to certify that, after reasonable inquiry, they are not owned or controlled by — and do not have significant business relationships with — companies on the federal list of Chinese military companies. Carriers must flow the same certification to subcontractors and owner‑operators, keep records for five years, and face suspension, debarment, or criminal penalties for knowing false statements. The Department of Defense must issue implementing regulations within 180 days and a new national security registry for DoD motor carriers is added to federal transportation law, though the law provides no funding or operational details for the registry. This creates new compliance duties and recordkeeping requirements for DoD freight carriers and their contractors, delegates some definition authority to the Secretary of Defense, and establishes a statutory basis for listing DoD motor carriers in a national security registry without specifying how that registry will operate.