South Carolina 2025-2026 Regular Session

South Carolina House Bill H4973

Introduced
1/15/26  

Caption

A BILL TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION 11-1-130 SO AS TO PROHIBIT CERTAIN CONTRACTS WITH CERTAIN FOREIGN-OWNED COMPANIES IN CONNECTION WITH CRITICAL INFRASTRUCTURE.

Impact

If enacted, this bill will amend the South Carolina Code of Laws by introducing Section 11-1-130. This will create stringent criteria that local businesses and government entities must adhere to when considering contractors that may access or control any critical infrastructure. By overseeing the relationships between local entities and foreign-owned businesses, the bill is intended to protect the state's economy and infrastructure from potential cyberattacks and espionage linked to foreign adversaries.

Summary

House Bill 4973 aims to enhance the security of South Carolina's critical infrastructure by prohibiting contracts with companies that are foreign-owned, particularly those associated with nations deemed hostile to the United States. The bill specifically targets entities from countries like China, Iran, North Korea, Russia, and others identified by the state governor as threats. It is motivated by concerns over security risks posed by technology and infrastructure control in critical sectors such as communications, energy, and public utilities.

Contention

Notably, the bill raises significant debate on the balance between national security and economic partnership with foreign entities. Proponents argue that this legislation is necessary for safeguarding sensitive infrastructure from foreign influence and potential espionage. However, critics may claim that it could limit beneficial collaboration with international businesses that contribute to economic development. There are concerns regarding its implications for existing contracts and the ability of local governments to navigate their international relations without severe restrictions.

Companion Bills

SC H3344

Similar To A BILL TO AMEND THE SOUTH CAROLINA CODE OF LAWS BY ADDING SECTION 11-1-130 SO AS TO PROHIBIT CERTAIN CONTRACTS WITH CERTAIN FOREIGN-OWNED COMPANIES IN CONNECTION WITH CRITICAL INFRASTRUCTURE.

Previously Filed As

SC H3344

State Infrastructure Protection Act

SC H4974

Chinese Land Ownership Prohibition

SC HB129

Relating to a prohibition on certain governmental contracts with foreign adversary companies and federally banned companies; authorizing a civil penalty.

SC H3366

Prohibition of incentives

SC HB2134

critical infrastructure; foreign adversaries; prohibition

SC HB2696

Critical Infrastructure; foreign adversary; prohibition

SC H4697

Expenditure and investment prohibition

SC SB1847

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.

SC H3343

Chinese Land Ownership Prohibition

SC H4393

South Carolina Technology Security Act

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