NDAA Summary

The John S. McCain National Defense Authorization Act (NDAA) for Fiscal Year 2019 was signed into law on August 13, 2018. The law, specifically Section 889, amongst other things prohibits federal agencies, their contractors, and grant or loan recipients from procuring or using “telecommunications and video surveillance equipment or services” from specific Chinese companies as a “substantial or essential component of any system, or as critical technology as part of any system.”

The NDAA ban includes telecommunications equipment produced by Huawei Technologies Company or ZTE Corporation, as well as video surveillance and telecommunications equipment produced by Hytera Communications Corporation, Hangzhou Hikvision Digital Technology Company, or Dahua Technology Company; and their affiliated entities. The NDAA ban also extends to other manufacturers in cases in which the video surveillance cameras or systems from the specified vendors are offered under another manufacturer’s brand name typical of OEM, ODM, and JDM relationships.