119-hr-1795119th Congress

NETWORKS Act

Sponsored By: Representative Houlahan, Chrissy [D-PA-6]

Introduced

Summary

Sanctioning untrusted 5G and future-generation telecom vendors to protect U.S. networks. The NETWORKS Act would let the President use authorities under the International Emergency Economic Powers Act to block significant transactions and property interests of foreign firms that produce fifth or future generation telecommunications technology and act contrary to U.S. national security interests.

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  • Foreign telecommunications firms that produce 5G or later technology and conduct business in ways judged harmful to U.S. security could have "all significant transactions" and U.S. property blocked. The President would use a facts-and-circumstances standard to determine which entities meet that test.
  • U.S. persons and companies could be prohibited from engaging in covered transactions with targeted foreign persons. Violators would face existing penalties under IEEPA.
  • Intelligence activities and humanitarian dealings for food, medicine, medical devices, and relief transport are exempt. The President may also suspend sanctions with renewable waivers of up to 90 days if doing so is vital to national security.

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Bill Overview

Analyzed Economic Effects

3 provisions identified: 1 benefits, 1 costs, 1 mixed.

Sanctions and penalties on risky telecom firms

Starting 90 days after enactment, the President could block major deals tied to certain foreign telecom companies. The block would cover property in the United States or controlled by U.S. persons. U.S. people and companies that deal with those firms would need to stop covered transactions. If they violate or help violate the rules, they could face civil and criminal penalties under IEEPA.

Who the telecom sanctions would cover

The bill would define who is covered. "United States person" would include U.S. citizens, green card holders, and companies set up under U.S. law, including their foreign branches. A foreign person could be targeted if it makes 5G or future telecom tech and does business with it in ways that harm U.S. national security. "Knowingly" would include actual knowledge or reason to know.

Humanitarian exceptions and short national-security waivers

The bill would allow work in international standards groups and deals for existing 3G or 4G networks. It would not block sales of food, medicine, or medical devices for aid, or transport needed for aid. U.S. intelligence activities would be exempt. The President could grant 90-day waivers, and renew them, if vital to national security and reported to Congress.

Sponsors & CoSponsors

Sponsor

Houlahan, Chrissy [D-PA-6]

PA • D

Cosponsors

  • Rep. Strong, Dale W. [R-AL-5]

    AL • R

    Sponsored 3/3/2025

  • Rep. Nunn, Zachary [R-IA-3]

    IA • R

    Sponsored 4/24/2025

  • Rep. Fitzpatrick, Brian K. [R-PA-1]

    PA • R

    Sponsored 6/30/2025

Roll Call Votes

No roll call votes available for this bill.

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