The United States has taken a new step to protect its bulk-power system from potential cybersecurity, operational and supply-chain risks linked to certain foreign-produced equipment. On August 26, 2026, President Donald Trump signed an executive order declaring a national emergency concerning foreign supply of bulk-power system electric equipment.
The development matters to the solar industry because the order's definition of bulk-power system electric equipment includes utility-scale and other grid-connected inverters and battery energy storage systems, as well as certain associated software, firmware and remote-access capabilities.
What Did the U.S. Government Announce?
The August 26 executive order directs the U.S. government to restrict certain transactions involving foreign-produced bulk-power equipment when the Secretary of Energy determines that the transaction involves a covered foreign entity and creates an undue risk of sabotage, unauthorized access, supply disruption, catastrophic effects on critical infrastructure, or another unacceptable national-security risk.
The order also directs the Department of Energy to develop rules and procedures for implementation. It gives the government authority to establish pre-qualified equipment and vendors and to impose conditions on the continued use or operation of certain equipment already installed.
Why Solar Inverters Matter
Modern solar inverters are more than simple power-conversion devices. Grid-connected inverters can communicate with other equipment, receive software updates and support remote monitoring or control. Because of those digital capabilities, inverter security has become an important part of energy-infrastructure security.
For U.S. solar buyers, the practical question will increasingly be not only how much an inverter costs, but also where it was manufactured, who supplied its critical components and software, what certifications it carries, and whether it remains eligible for a particular grid-connected project.
What About Solar Batteries?
Battery energy storage systems are also explicitly included in the executive order's definition of bulk-power system electric equipment. This could matter for large-scale solar-plus-storage projects, utility projects and other installations that connect to the bulk-power system.
However, buyers should not assume that every imported home battery is immediately prohibited. The order requires specific determinations and implementation rules before the restrictions apply to particular transactions or equipment classes.
Could This Affect Solar Equipment Prices?
It could create different pricing pressure across the U.S. market. If certain foreign equipment becomes harder to procure, buyers may see changes in inventory, lead times, supplier choices and the cost of alternative equipment. Domestic manufacturing and suppliers that qualify under future rules could become more attractive.
At the same time, it is too early to predict the final effect on retail solar inverter or battery prices. The Department of Energy has up to 120 days under the order to publish implementing rules as needed, and additional equipment-specific determinations may follow.
What U.S. Solar Buyers Should Watch
- Future Department of Energy implementation rules.
- Lists of pre-qualified equipment and vendors.
- Country-of-origin and supplier requirements.
- Cybersecurity and remote-access requirements for connected equipment.
- Availability and pricing of domestic alternatives.
- Effects on utility-scale solar and battery-storage projects.
Bottom Line
The August 26 executive order is an important development for the U.S. solar and energy-storage market, but it should not be described as a blanket ban on foreign solar products. Its focus is on certain foreign-produced bulk-power equipment and transactions that meet defined national-security risk criteria.
For solar buyers, the biggest change may be the growing importance of equipment origin, cybersecurity, supplier eligibility and grid-connection requirements alongside traditional factors such as efficiency, warranty and price.