President Trump issued Executive Order 14420 on Wednesday, declaring a national emergency to mitigate vulnerabilities in the United States’ bulk power system resulting from foreign-supplied electrical equipment.
The order attributed the heightened state of emergency to rapid growth in data centers, AI, advanced manufacturing and defense manufacturing.
Officials noted that reliance on network reliability magnifies the impact of disruptions to foreign supply chains or targeted attacks that use built-in backdoors for remote access.
The order covers critical infrastructure operating with transmission lines of a bulk power system of 69 kilovolts or higher, expressly excluding local power distribution facilities.
Target technologies include transformers, inverters, energy storage systems and industrial control systems (ICS) such as remote terminal units (RTUs), programmable logic controllers (PLCs) and safety systems. The order also covers the associated firmware, software and remote access capabilities.
Under the new directives, any acquisition, importation, transfer or installation of foreign-made bulk power equipment beginning after August 26, 2026 is prohibited if the transaction involves certain entities. Restrictions apply to hardware or software believed to pose a risk of sabotage, unauthorized access, malicious remote operation, or disruption of supply.
The order does not specify a country. However, its structure closely mirrors the 2020 Trump-era group power order that led to the DOE restraining order specifically targeting entities linked to China — though that ban was later lifted after a review by the Biden administration.
While the focus has often been on state-sponsored Chinese actors targeting US power grid networks through active intrusions, these directives signal a shift toward mitigating upstream supply chain risks and embedded hardware backdoors.
For equipment installed before the new executive order, the Department of Energy may impose security controls. In consultation with defense and intelligence leaders, it may require network operators to identify, isolate, monitor, secure, disable, or replace certain components to neutralize operational threats while ensuring service continuity and security.
To support ongoing grid operations, energy authorities may negotiate mitigation agreements or publish an official list of pre-qualified equipment and suppliers exempt from baseline prohibitions.
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