3 minute read | August.03.2026
On July 28, the Federal Communications Commission (FCC) added foreign-produced power inverters to its “Covered List” on the grounds that they represent a security threat. As a result, foreign-produced systems that satisfy the FCC’s definition of a “power inverter” and that have not been authorized by the FCC generally may not be imported, marketed or sold in the United States.
Power inverters connect utility-scale solar and battery storage, which produce or use direct current electricity, to the alternating current grid. This import restriction creates a supply chain challenge: as the FCC itself acknowledges, most power inverters are produced outside the United States, and demand for power inverters is growing substantially.
The FCC’s Covered List identifies communications equipment and services that have been found to represent an unacceptable risk to U.S. national security or to the safety and security of U.S. persons. The FCC maintains the list under Section 2 of the Secure and Trusted Communications Networks Act of 2019 (the Secure Networks Act), which requires the FCC to add to the list any equipment or service that a qualifying federal national security agency finds to be a national security risk.
Equipment on the Covered List cannot receive FCC equipment authorization, which most electronic devices need before being imported, marketed or sold in the United States. Placement on the list thus effectively bars listed devices from the U.S. market.
Some foreign-produced power inverters may still be imported and deployed by U.S. buyers.
First, the import ban generally applies only to foreign-produced power inverters that are new to the U.S. market. The ban does not affect continued importing, marketing or selling of power inverters that have already been authorized by the FCC. Furthermore, the Covered List revision does not bear on continued use of devices that were imported and sold in the United States before July 28.
Second, suppliers of new power inverters may seek “conditional approval” from the Department of War or the Department of Homeland Security. The import ban will not apply to inverters for which this approval has been secured.
Third, the import ban applies only to systems that satisfy the FCC’s definition of “power inverter”. While the definition is confusingly drafted, it does not appear to encompass inverters that lack components that enable remote communication, control, sensing, data collection or monitoring through Wi-Fi, cellular, Bluetooth or other similar connections.
Finally, the import ban does not cover sales to the federal government or federal agencies.
Under 47 U.S.C. § 1606 (a), the FCC enforces the Secure Networks Act "in the same manner, by the same means, and with the same jurisdiction, powers, and duties" as violations of the Communications Act of 1934. This means the FCC can enforce unauthorized import, marketing or sale of a foreign-made power inverter using the same tools it applies to other Equipment Authorization Procedures violations, such as citations, consent decrees, monetary penalties or even seizure of equipment for willful and knowing violations.
Orrick’s International Trade & Investment team will continue monitoring Covered List developments. Please contact the authors with questions about compliance with the FCC’s determination.