South Carolina Spending on Restricted Technology

State Blog – CTT Urges South Carolina To Continue Efforts In Stopping PRC’s Infiltration

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Fact Sheet

Overview:

Between 2018 and 2023, the state of South Carolina spent $3,854,722 on restricted Chinese technology from Lenovo, Inc. and Lexmark, Inc.

South Carolina is Making Progress:

In January 2023, Sen. Doug Gilliam sponsored House Bill 3119, an act to prohibit certain contracts with foreign-owned companies in connection with critical infrastructure.

The Problem

Technology products by Chinese government-owned technology manufacturers Lenovo and Lexmark have been banned by U.S. military and intelligence agencies due to their connection to the Chinese government and military, but are still being purchased by state government bodies. While federal policy directs information security at the federal level, states must determine their own security standards making states vulnerable to intrusion through the purchase of these risky Chinese technology products and services.

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The Solution

State lawmakers can enact laws and regulations to restrict contracts with Chinese-owned or operated tech manufactures.
As awareness grows among state lawmakers, there is a shift at the state level to take these threats more seriously. Some states, such as Georgia and Florida, already have laws or regulations to restrict contracts with Chinese-owned or operated tech manufactures that can serve as model policies, and nearly a dozen more states currently considering legislation.

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