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President Trump Declares National Energy Emergency to Secure U.S. Power Grid Against Foreign Security Risks

The administration announced a national emergency to restrict the purchase and installation of foreign-made equipment in the United States bulk-power system. President Trump signed an executive order on Wednesday that targets equipment such as transformers, batteries, and inverters, as well as associated software and digital capabilities that could pose cybersecurity or operational risks. The order aims to mitigate an "unusual and extraordinary foreign threat" where foreign-produced systems may allow unauthorized access or sabotage. While the order does not prohibit all foreign equipment, it focuses on transactions involving foreign nationals that pose an undue risk to U.S. critical infrastructure. It specifically targets entities tied to 24 countries under U.S. arms embargoes or strict sanctions lists, with a heavy focus on Chinese-made equipment. The Department of Energy has 120 days to publish formal rules to implement the policy. Industry experts and utility companies are currently working to inventory existing equipment to ensure the reliability and affordability of the nation's electricity.

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