President Donald Trump signed an executive order on Wednesday declaring a national emergency to secure America’s bulk-power system from foreign threats.

The order, issued under the International Emergency Economic Powers Act and the National Emergencies Act, generally prohibits the purchase, importation, transfer, or installation of certain foreign-produced electric equipment—including transformers, inverters, generators, and associated software—when officials determine it poses an undue risk of sabotage, unauthorized access, or disruption to critical infrastructure.

The White House fact sheet stated that the measure addresses an “unusual and extraordinary foreign threat” to national security, foreign policy, and the economy. It does not apply to local electric distribution facilities. The Secretary of Energy may impose conditions on existing equipment already in operation, including requirements to identify, isolate, monitor, secure, disconnect, replace, or remove items that present risks.

The action targets vulnerabilities in equipment that could allow foreign actors remote access or control, citing concerns over digital backdoors and malicious cyber activities. China dominates global production of many such components, accounting for roughly 80 percent of battery and solar inverter manufacturing capacity according to the International Energy Agency.

The order follows similar steps by the European Commission earlier this year restricting Chinese-made inverters from publicly funded projects. It builds on prior administration efforts to reduce reliance on foreign supply chains for critical infrastructure.

The Department of Energy has 120 days to issue implementing regulations. Utilities and operators have been put on notice that prohibited devices will face restrictions while rules are developed.

The move aims to mitigate supply chain risks and protect the reliability of the electric grid that supports national defense, emergency services, and the broader economy.