Senate Banking Committee Chairman Tim Scott and Sen. Bill Hagerty introduced the ICTS Supply Chain Security Act, legislation that would put the Commerce Department’s information and communications technology and services authorities on a statutory footing and expand its ability to block or mitigate foreign adversary technology risks in U.S. supply chains. The bill would codify the Office of Information and Communications Technology and Services within the Bureau of Industry and Security, create a Senate-confirmed assistant secretary to lead the work, and establish a clear prohibition framework for covered transactions while preserving protections for free speech and open-source software. The proposal would authorize Commerce to prohibit or mitigate ICTS transactions involving technology designed, developed, manufactured or supplied by persons owned, controlled or directed by foreign adversary countries. It identifies the covered countries as China, including Hong Kong and Macau, Russia, Iran, North Korea and Cuba. The bill also provides for enforcement authority and penalties, requires congressional reporting and access for relevant committees, and states that the ICTS process would not displace other national security review mechanisms, including the Committee on Foreign Investment in the United States. The measure follows a Senate Banking Committee hearing on artificial intelligence and builds on ICTS authorities first established under a 2019 executive order.
U.S. Senate Committee on Banking, Housing and Urban Affairs2026-06-30
U.S. Senate Committee on Banking, Housing and Urban Affairs leaders introduce bill to codify Commerce Department ICTS authority and restrict covered foreign adversary technology transactions
Senate Banking Committee leaders introduced a bill to codify and strengthen the Commerce Department’s ICTS supply chain security powers. The measure would let Commerce prohibit or mitigate covered transactions tied to technology from specified foreign adversary countries, while adding enforcement tools, congressional oversight and protections for free speech and open-source software. It would also formalize the ICTS office within the Bureau of Industry and Security and create a Senate-confirmed assistant secretary role.