States Making Progress to Curtail Further Spending
China Tech Threat’s original 2020 research found that nearly 40 states had contracts to purchase technology Chinese government-owned technology manufacturers Lenovo and Lexmark. Beginning in Fall 2022, we began to re-examine data from each state to determine if the states have made payments to either company, how much was spent, and where those products were deployed. As of May 2023, we verified payments from 48 states totaling more than $285 million since 2015, with some states spending as much as $47 million on Lexmark or Lenovo products. (Read the briefing paper here.)
In January 2024 we returned to this research in select states and discovered that states currently debating bills to stop the dollars flowing to Chinese companies have collectively spent close to $22 million since our last report. Spending includes Chinese technology for agencies performing work with sensitive personal information, such as the Arizona Board of Fingerprinting, Nebraska State Police, and Utah schools, and Wisconsin Supreme Court. While we are encouraged that these lawmakers appear ready to stop the spending, our new research demonstrates the need for states to act during their 2024 legislative sessions.
With this new spending, China Tech Threat’s original 50-state research concludes that U.S. states have since 2015 spent a total of more than $300 million on gear from Chinese government-owned tech companies Lexmark and Lenovo.
Here is a more detailed breakdown of each state’s updated spending and legislative status:
Updated Spending on Restricted Products + Legislative Status
State | Spending | UPDATE: Year(s) | Partial List of Agencies | Active Legislation |
Arizona (AZ Fact Sheet) | $1,192,010 | 2023-2034 | Depts of Health, Education, Juvenile Corrections | Rep Diaz’s HB 2436 passed out of committee on Feb 14. His bill addresses the procurement threats raised on Jan 10 in a Senate committee hearing. Read more. |
Kansas (KS Fact Sheet) | $305,558 | 2023 | State Legislature, plus Depts of Health and Commerce | The Majority Leader is managing several bills to address the threat from China, including purchasing Chinese technology. |
Kentucky (KY Fact Sheet) | $2,711,844 | 2023-2024 | State Police, Depts of Revenue and Education | Representative Scott Sharp has stated an interest in legislation to protect Kentucky |
Maine (ME Fact Sheet) | $230, 731 | 2023-2024 | Bureau of Info. Services | On Jan 25 the State and Local Government Committee vote to advance Senator Keim’s LD877. Further progress is expected soon. Read more. |
Nebraska (NE Fact Sheet) | $57183 | 2023 | State Police, Attorney General | Senator Bostar’s LB 1300 was considered by Government, Military and Veterans Committee on Feb 8. Further action is expected soon. Read more. |
Tennessee (TN Fact Sheet) | $12,360 | 2023-2024 | Depts of Finance, Corrections, and Education | The Procurement Protection Act – House Chairman John Ragan’s HR 1841 + Senator Roberts’ SB 2859 – would ban contracts. Read more. |
Utah (UT Fact Sheet) | $16,560,687 | 2022-2024 | Board of Education, Attorney General | Rep. Candice Pierucci’s HB 404 received unanimous committee support on Feb 13 and will soon be considered on the House floor. Read more. |
Wisconsin (WI Fact Sheet) | $1,005,799 | 2023-2024 | Dept. of Health Services, University of Wisconsin System, Supreme Court | Rep. Alex Dallman and Senator Pat Testin are making progress to stop CCP influence through SB 1000. Read more. |