The United States is moving to tighten controls on technology imports as lawmakers introduced legislation aimed at broadening restrictions on certain products from foreign entities. The proposed Communications and Technology Transparency Act, unveiled by the House Energy and Commerce Committee on Wednesday, seeks to expand the Federal Communications Commission’s (FCC) authority by widening the scope of its Covered List from “communications equipment or service” to the broader category of “information and communications technology or service” (ICTS).
Products included on the Covered List are effectively banned from being imported, marketed, or sold as new in the US. The FCC has already restricted various Chinese-made technologies, such as drones and robots, under measures targeting designated “foreign adversaries.” The new bill aims to streamline the process for barring products while clarifying criteria for identifying malicious technology or equipment. It also proposes that the Covered List be updated at least twice a year, replacing the current requirement for periodic updates.
In parallel with legislative developments, the US International Trade Commission (ITC) announced a Section 337 investigation into certain DDR5 memory modules and related downstream products, including servers, computing systems, and storage devices, following a patent infringement complaint filed by California-based Netlist. The investigation names Lenovo Group, Micron Technology, Hewlett Packard Enterprise, and Super Micro Computer as respondents. Netlist is seeking a limited exclusion order and cease-and-desist mandates tied to alleged patent violations.
Section 337 investigations serve as a powerful mechanism to potentially exclude products from the US market entirely, giving weight to enforcement of intellectual property rights. Lenovo’s involvement in the case signals the growing scrutiny of Chinese technology firms amid heightened US concerns over supply chains and national security.
Legal experts note the timing and scope of the Communications and Technology Transparency Act carry political significance, appearing ahead of the US midterm elections in November. Dai Menghao, a partner at King & Wood Mallesons in Shanghai and Beijing, observed that the bill aims to make enforcement of the FCC’s Covered List more systematic and focused.
The legislative proposal follows recent FCC rule updates, finalized less than two weeks before the bill’s introduction, which tightened restrictions on devices containing hardware components from listed foreign adversaries but notably excluded optical transceivers. US markets had reacted with caution after reports that Washington considered banning new Chinese optical transceiver models—devices critical in converting electrical to optical signals commonly used in data centers.
Under Department of Commerce regulations referenced in the bill, ICTS encompasses products involved in the electronic processing, storage, retrieval, or communication of information, including devices utilizing photonic technology such as optical transceivers. As such, the new legislation could bring renewed attention to these components, potentially affecting their import and sale.
Overall, the proposed bill and the ongoing patent investigation reflect a broader US strategy to exert greater control over technology flows, particularly those linked to China, by expanding regulatory authority and strengthening intellectual property protections within the technology sector.