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Bill to Ban Foreign-Made Data Centers Risks $1.3 B Revenue

7/25/2026

25 6 Full Breakdown

Summary

Story summary

Rep. Cory Mills (R-Fla.) added an amendment to the 2027 bill barring leases for data centers with foreign components.
The amendment would forbid equipment with circuit boards, advanced semiconductors or chipsets.
The Army warned the rule could create a “federal land penalty” and repel $1.3 billion.
Rep. Derrick Van Orden (R-Wis.) warned amendment would hurt AI.
Rep. Rashida Tlaib (D-Mich.) introduced a bill to bar AI data centers on federal land.

History

Historical Context

The 2018 NDAA’s Section 889 barred federal purchase of Huawei and ZTE equipment, citing espionage and causing the Pentagon to lose roughly $1.5 billion in contracts within two years. That ban built on Section 807’s supply-chain security and survived Huawei’s 2019 lawsuit challenge. Rep. Cory Mills now proposes a similar restriction on circuit boards and AI chips in the 2027 data-center bill.

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Story summary

Rep. Cory Mills (R-Fla.) added an amendment to the 2027 bill barring leases for data centers with foreign components.
The amendment would forbid equipment with circuit boards, advanced semiconductors or chipsets.
The Army warned the rule could create a “federal land penalty” and repel $1.3 billion.
Rep. Derrick Van Orden (R-Wis.) warned amendment would hurt AI.
Rep. Rashida Tlaib (D-Mich.) introduced a bill to bar AI data centers on federal land.

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