119-HR2871

Safeguarding U.S. Supply Chains Act

Last action was on 4-10-2025

Bill is currently in: House
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Current status is Referred to the House Committee on Ways and Means.

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119th CONGRESS

1st Session

H. R. 2871

1. Short title
2. Restriction on advanced manufacturing production credit with respect to foreign entities of concern

1. Short title

This Act may be cited as the "Safeguarding U.S. Supply Chains Act".


2. Restriction on advanced manufacturing production credit with respect to foreign entities of concern

(a) Credit not allowed for components produced by foreign entities of concern - Section 45X(d) of the Internal Revenue Code of 1986 is amended by adding at the end the following new paragraph:

(5) Credit not allowed for components produced by foreign entities of concern - No credit shall be allowed under this section with respect to any eligible component which is produced by a foreign entity of concern (as defined in section 9901(8) of the William M. Mac Thornberry National Defense Authorization Act for Fiscal Year 2021 (15 U.S.C. 4651(8))).

(b) Additional restrictions with respect to qualifying battery components - Section 45X(c)(5) of such Code is amended by adding at the end the following new subparagraph:

(C) Prohibition on certain involvement of foreign entities of concern - The term "qualifying battery component" shall not include any battery component produced using technology designed, developed, manufactured, licensed, or supplied by a foreign entity of concern (as defined in section 9901(8) of the William M. Mac Thornberry National Defense Authorization Act for Fiscal Year 2021 (15 U.S.C. 4651(8))).

(c) Effective date - The amendments made by this section shall apply to components produced and sold after the date of the enactment of this Act.