Glossary / Defense / Section 889

Section 889

Also known as: Section 889 NDAA · covered telecommunications prohibition

Defense

A federal law banning the government from buying or using certain Chinese-made telecom and surveillance equipment — and from contracting with companies that use it.

Section 889 of the John S. McCain National Defense Authorization Act for Fiscal Year 2019 (Pub. L. 115-232) prohibits federal agencies from procuring or using "covered telecommunications equipment or services" — defined to include products from Huawei, ZTE, Hytera, Hikvision, and Dahua and their affiliates. Part A (effective August 13, 2019) bars the government from buying such equipment; Part B (effective August 13, 2020) bars the government from contracting with any entity that uses it, even unrelated to the federal contract. It is implemented in the Federal Acquisition Regulation through FAR 52.204-25, with representation clauses at FAR 52.204-24 and 52.204-26, and its prohibition flows down to subcontractors.

Source: FAR 52.204-25 (Acquisition.gov)

Where you'll see it

Vendor contractApplication

Why it matters for your business

  • A startup selling to the government must be able to certify it does not use covered equipment anywhere in its operations — not just on the specific contract.
  • A Section 889 misrepresentation is a compliance failure that can create False Claims Act and D&O exposure.
  • The flow-down means primes push the same certification onto their startup subcontractors.

People also ask

Which companies' equipment does Section 889 cover?

It names Huawei, ZTE, Hytera, Hikvision, and Dahua (and their subsidiaries and affiliates) as producers of "covered telecommunications equipment or services."

Does Section 889 only apply to equipment used on the federal contract?

No. Part B (effective August 2020) prohibits the government from contracting with any entity that uses covered equipment anywhere in its business, even if that use has nothing to do with the government contract.

Ready to take the next step?

Definitions are educational and may be modified by your specific policy language, endorsements, and state rules. For regulatory guidance, refer to the California Department of Insurance or the NAIC.

Reviewed by Andrei Craciunescu, CA Licensed Insurance Broker #4467994

Last updated: July 2026.