The Decoupling from Foreign Adversarial Battery Dependence Act would prohibit the Department of Homeland Security from obligating funds to procure a battery produced by any entity listed in Section 2(b) beginning October 1, 2027. The list includes major Chinese battery makers and entities linked to U.S. sanctions regimes or military programs, as well as any subsidiary or successor.
The bill also creates waiver authorities for national security risk, lack of alternatives, or research purposes, with targeted notification to Congress and a required DHS impact-and-cost report within 180 days of enactment. The core aim is to reduce DHS exposure to potentially hostile supply chains and to prompt a shift toward domestically produced or allied-sourced battery technology, while preserving flexibility in exceptional circumstances.
At a Glance
What It Does
Starting Oct 1, 2027, DHS may not obligate funds to procure a battery produced by a listed entity. A battery is treated as produced by that entity if the entity assembles the final product or provides most of its components.
Who It Affects
DHS procurement offices and the agencies they support (CBP, ICE, Secret Service, TSA, Coast Guard, Federal Protective Service, FEMA, FBI-related training centers, and CISA) plus private sector suppliers competing for DHS contracts.
Why It Matters
This marks a formal step to diversify or localize critical battery supply chains, reduce reliance on certain foreign firms, and align procurement with broader national-security objectives.
More articles like this one.
A weekly email with all the latest developments on this topic.
What This Bill Actually Does
The law sets a hard procurement boundary for DHS: beginning October 1, 2027, funds may not be obligated to buy batteries that are produced by specific foreign entities listed in the statute. The definition of “produced by” covers both final assembly of the battery and the provision of a majority of its components, ensuring the restriction applies even when the foreign firm is not the final assembler.
The list includes CATL, BYD, Envision Energy, EVE Energy, Gotion High Tech, Hithium, entities on the Uyghur Forced Labor Act list, and any Chinese military company as identified by the DoD, along with entities regulated under certain export control provisions and their subsidiaries.
The Five Things You Need to Know
The bill imposes a procurement prohibition starting Oct 1, 2027 on batteries produced by listed entities.
A battery is considered produced by a listed entity if the entity supplies the final product or a majority of its components.
Waivers can be granted for no security risk, no feasible alternatives, or for research purposes, with a 15‑day congressional notification requirement.
The Secretary of Homeland Security must deliver a 180‑day report detailing anticipated mission impacts and costs across major DHS components.
Subsidiaries and successors of listed entities fall within the scope of the prohibition.
Section-by-Section Breakdown
Every bill we cover gets an analysis of its key sections.
Short Title
Section 1 provides the act’s citation as the Decoupling from Foreign Adversarial Battery Dependence Act, establishing the formal name used in subsequent provisions.
Prohibition on DHS Battery Procurement
Section 2(a) bars the obligation of DHS funds to procure a battery produced by an entity listed in Section 2(b) beginning October 1, 2027. This creates a blanket procurement constraint across DHS battery use and sets the stage for supply chain realignment.
Entities Specified
Section 2(b) enumerates the entities whose batteries are prohibited for DHS procurement. The list includes Contemporary Amperex Technology Co., Limited (CATL); BYD Company, Limited; Envision Energy, Limited; EVE Energy Company, Limited; Gotion High Tech Company, Limited; Hithium Energy Storage Technology Company, Limited; any entity on Uyghur Forced Labor Act lists; any entity identified by the DoD as a Chinese military company; any entity in Supplement No. 4 to 744 of Title 15 CFR; and any subsidiary or successor of these entities.
Treatment of Production
Section 2(c) clarifies that a battery is treated as produced by a listed entity if the entity assembles or manufactures the final product or provides a majority of its components. This definition ensures the restriction applies even when a different firm performs the final assembly, if the listed entity supplies essential inputs.
Waivers
Section 2(d) authorizes waivers under two conditions: (A) the batteries pose no national security, data, or infrastructure risk and there is no suitable non-listed alternative, and (B) the batteries are for research, evaluation, training, testing, or analysis. If a waiver is granted, DHS must notify Congress within 15 days, reporting the rationale and scope of the waiver.
Reporting Requirement
Section 2(e) requires the Secretary of Homeland Security to submit, within 180 days of enactment, a report to Congress detailing anticipated mission impacts and costs associated with enforcing Section 2. The report covers multiple DHS components, including CBP (and Border Patrol), ICE (including HSI), the Secret Service, TSA, the Coast Guard, the Federal Protective Service, FEMA, the Federal Law Enforcement Training Centers, and the CISA.
This bill is one of many.
Codify tracks hundreds of bills on Government across all five countries.
Explore Government in Codify Search →Who Benefits and Who Bears the Cost
Every bill creates winners and losers. Here's who stands to gain and who bears the cost.
Who Benefits
- DHS procurement risk managers gain a clear, enforceable rule reducing exposure to high-risk suppliers.
- DHS operating components (e.g., CBP, ICE, Secret Service, TSA, Coast Guard, FEMA) benefit from alignment of procurement with national-security safeguards and a defined supplier landscape.
- Domestic battery manufacturers and non-listed suppliers gain potential market opportunities as DHS diversifies away from restricted entities.
- Congressional committees and oversight staff gain a concrete reporting mechanism to monitor cost, risk, and implementation challenges.
- National security policy implementers gain a measurable tool to reduce foreign-adversary exposure in critical infrastructure supply chains.
Who Bears the Cost
- The listed foreign battery manufacturers (CATL, BYD, Envision, EVE, Gotion, Hithium) lose access to a major customer base.
- DHS procurement offices and contractors face transition costs, need to identify compliant suppliers, and potential price or supply volatility.
- U.S. taxpayers may incur higher costs if domestically sourced batteries are more expensive or slower to procure.
- Private sector suppliers currently dependent on restricted entities incur revenue risk and may need to pivot quickly to alternative customers.
- Some DHS programs could experience initial delays or operational adjustments as the new supply chain is developed.
Key Issues
The Core Tension
Balancing national-security-driven diversification of the DHS battery supply with the practical realities of cost, availability, and program continuity remains the central policy dilemma. The restriction aims to reduce risk from foreign adversaries but risks creating gaps if domestic or allied suppliers cannot meet DHS needs on time or at comparable cost.
The bill creates a path for reducing reliance on specific foreign battery producers, but it also raises practical questions about supply availability, cost, and transition timelines. While waivers offer flexibility, their criteria are purposefully narrow and require timely congressional notification, creating a channel for oversight and potential delays.
The linkage to Uyghur Act lists and to DoD-designated Chinese military companies broadens the scope of control but also complicates supplier classifications and the monitoring of subsidiaries, which could complicate compliance for multinational battery firms and DHS contractors. The Oct 1, 2027 deadline gives DHS a finite runway to re-source batteries and renegotiate contracts, with implications for readiness and mission continuity across affected agencies.
Try it yourself.
Ask a question in plain English, or pick a topic below. Results in seconds.