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Bill

Bill

SB 1847

Relating to prohibiting contracts or other agreements with certain foreign-owned companies in connection with critical infrastructure in this state and the use of certain technology purchased or leased from those companies.

89th Legislature (2025) Introduced by Bryan Hughes

Texas bill prohibits state contracts with foreign-owned companies for critical infrastructure and restricts purchasing their technologies to strengthen domestic security.

Referred to Business & Commerce
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Bill Summary · SB 1847

Legislative bill overview

SB 1847 would prohibit Texas from entering into contracts or agreements with foreign-owned companies for critical infrastructure projects and restrict the purchase or lease of certain technologies from those companies. The bill creates legal barriers to foreign corporate involvement in sectors deemed critical to state operations and security.

Why is this important

Critical infrastructure—including energy grids, water systems, telecommunications, and transportation networks—directly affects public safety and economic stability. This bill addresses concerns about foreign ownership influence over essential services, though it also affects procurement costs, supply chain diversity, and interstate commerce relationships.

Potential points of contention

  • Definition scope: The bill's success depends heavily on how "critical infrastructure" and "certain foreign-owned companies" are defined—overly broad definitions could exclude beneficial contracts, while narrow ones may miss genuine risks
  • Economic impact: Restricting foreign vendors may limit competition, increase costs for Texas taxpayers, and potentially trigger retaliatory trade restrictions against Texas businesses in other states or countries
  • Implementation challenges: Determining beneficial ownership structures is complex; foreign-owned subsidiaries of U.S. companies and joint ventures create gray areas that could lead to litigation and inconsistent enforcement

Compiled from official sources — confirm details with the bill’s official record.

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