Trump Reissues Executive Order Restricting Foreign Bulk-Power Equipment
President Trump reissued Executive Order 14420 restricting foreign bulk-power system equipment.
Why it matters: Energy companies and law firms advising them must now navigate renewed restrictions affecting foreign-sourced power infrastructure, assessing national security risks and compliance strategies under this order.
- Executive Order 14420 was signed on August 26, 2026, declaring a national emergency to secure the U.S. bulk-power system.
- The order prohibits procurement and installation of certain foreign-produced bulk-power system equipment in the U.S.
- The Secretary of Energy must identify specific equipment and manufacturers for prohibition within 120 days.
- Restrictions apply to transactions initiated after August 26, 2026, with potential conditions on existing equipment installations.
On August 26, 2026, President Donald J. Trump signed Executive Order 14420, declaring a national emergency to protect the U.S. bulk-power system from foreign threats. This order renews restrictions on foreign-produced bulk-power system electric equipment, aiming to safeguard critical infrastructure.
Under the order, certain electric equipment produced abroad is prohibited from purchase or installation in the United States, responding to national security vulnerabilities posed by foreign entities. According to the White House Fact Sheet, the executive order is based on the International Emergency Economic Powers Act and the National Emergencies Act.
The Secretary of Energy is tasked with identifying specific equipment and manufacturers—called “covered foreign entities”—within 120 days, who will be subject to the prohibitions and restrictions.
This order affects all transactions initiated after August 26, 2026, although the Secretary has authority to impose conditions on installations predating the order. Legal analysis at HK Law and Steptoe emphasizes this order’s impact on contracts, regulatory compliance, and national security evaluations.
Notably, this order reissues and updates protections similar to Executive Order 13920 from 2020, which was revoked in 2021. Its return signals heightened concerns about foreign interference risks in energy infrastructure amid evolving geopolitical and cybersecurity threats.
By the numbers:
- August 26, 2026 — Date Executive Order 14420 was signed
- 120 days — Deadline for the Secretary of Energy to identify covered equipment and manufacturers
- Post-August 26, 2026 — Effective date for transaction restrictions
Yes, but: Specific criteria for identifying covered foreign entities and the impact on existing contracts remain unclear, leaving some compliance questions open.
What's next: The Secretary of Energy’s 120-day deadline to identify subject equipment and manufacturers will be a key milestone to watch for further regulatory details.