FCC Clarifies Covered List for Power Inverters and Advanced Robotic Devices

I. Background

On July 28, 2026, the Federal Communications Commission (FCC) updated its Covered List — established through the Secure and Trusted Communications Networks Act — to include foreign-produced connected power inverters and advanced robotic devices, following an executive branch national security determination that they “pose unacceptable risks to the national security of the United States or the safety and security of United States persons.” Equipment on the Covered List is ineligible for FCC equipment authorization, effectively prohibiting the import, sale, or marketing of those products without an exception or approval.

A few weeks later, on August 20, the FCC issued a new public notice and updates to its Frequently Asked Questions (FAQ) that modifies its Covered List entry for foreign-produced power inverters, following a second National Security Determination from the U.S. Department of War (DoW), and updates its guidance on foreign-produced advanced robotic devices.

II. The August 20 Update: Revised Power Inverter Entry and AGV Guidance

1. Wired Connectivity Is Expressly Covered

The original July 28 definition covered inverters with connectivity “through Wi-Fi, cellular, Bluetooth, or other similar connections.” The August 20 update expressly confirms that “similar connections” includes wired interfaces such as Ethernet — and that this was always the intent. The revised definition now covers inverters with connectivity through “Ethernet, Wi-Fi, cellular, Bluetooth, or other similar connections, whether wired or wireless.” Critically, coverage extends to an inverter that is merely designed, equipped, or configured to accept a connectivity component, even if that component is potentially not installed in the base configuration.

2. Coverage Narrowed to Utility-Interactive Inverters

The revised definition limits coverage to utility-interactive inverters — devices that change DC power to AC power, including bidirectional devices, that are intended for use in parallel with an electric utility, as defined in UL 1741 sections 2.1.23 and 2.1.52. Rectifiers, which only convert AC to DC, are also not covered. By contrast, the original definition broadly encompassed bidirectional devices or systems that convert direct current to alternating current, or vice versa. The change is rooted in DoW’s current determination that non-utility-interactive inverters do not pose a risk to the interconnected power system.

3. New Exemption for Section 45X Tax Credit-Eligible Inverters

The August 20 update creates a significant new carve-out: foreign-produced power inverters that are eligible for the Advanced Manufacturing Tax Credit under 26 U.S.C. § 45X are no longer treated as “foreign-produced” for Covered List purposes. For inverters not eligible for § 45X, the “foreign-produced” determination still turns on whether the device qualifies as a “domestic end product” under 48 CFR § 25.101(a), requiring both U.S. manufacture and domestic component costs exceeding 65% through 2028 and 75% beginning in 2029.

4. AGVs May Fall Within the Advanced Robotic Device Definition

While the underlying definition of “advanced robotic device” has not changed, the FCC updated its FAQ guidance to confirm that AGVs — which are not manufactured primarily for use on public streets, roads, and highways, and do not operate only on a rail line — may fall within the definition, even if they follow predefined paths, because they “operate at a distance from a human operator or supervisor based on commands or in response to sensor data or any combination thereof.”

For reference, a covered “advanced robotic device” is a mechanical mobile device, including autonomous mobile robots, humanoid robots, and quadrupeds, that: (i) is capable of locomotion, obstacle avoidance, navigation, or movement on the ground; (ii) operates at a distance from a human operator or supervisor based on commands or in response to sensor data or any combination thereof; (iii) has a combined weight (including any ground station or docking station) of over 4.4 pounds; and (iv) contains a sensor capable of perceiving its environment, a component capable of providing network connectivity with speeds of at least 200 kbps in either direction, and software (including firmware and AI/machine-learning model weights) controlling autonomous navigation, movement, data collection, or remote command-and-control.

Key exclusions include: connected vehicles; rail-only vehicles; uncrewed aircraft systems; unmanned underwater vehicles; FDA-regulated medical devices; and fixed, stationary, non-mobile robots (including articulating arm and selective compliance assembly robot arms (SCARA) used in industrial or medical settings).

III. What Companies Should Do Now

Companies manufacturing, importing, operating, or using power inverters or advanced robotic devices in their supply chain should take the following steps promptly:

• Reassess product scope against the revised power inverter definition (utility-interactive and connectivity requirements) and confirm whether previously excluded or included products have changed status — particularly for products relying solely on wired or optional connectivity.
• Evaluate Section 45X eligibility for any foreign-produced power inverters to determine whether the new exemption applies.
• Audit supply chains and domestic content to confirm whether products satisfy the domestic end product standard under 48 CFR § 25.101(a).
• Review AGV fleets against the full advanced robotic device definition to determine whether those systems are covered equipment.

Crowell & Moring is hosting a webinar on September 15, 2026, where Caroline Brown and Rajeev Raghavan will discuss what the expanding Covered List means for your business and the practical implications of these bans.