This bill prohibits federal transportation funds from being used to purchase rolling stock (e.g., rail cars or buses) or fueling or charging infrastructure from entities with ties to China, North Korea, Russia, or Iran (i.e., a covered nation). In general, this replaces a current prohibition on the use of Federal Transportation Administration (FTA) funds for rolling stock from manufacturers owned or controlled by corporations based in certain countries.

Specifically, Department of Transportation funds, which include FTA funds, may not be used for the purchase of rolling stock or bus fueling or charging infrastructure from entities with ties to a covered nation. This prohibition also applies to vehicles that incorporate electric power trains from such entities.

The prohibition broadly applies to corporations, joint ventures, individuals, and organizations with ties to covered nations. Examples of applicable entities include an individual whose activities are directed or financed by a covered nation or an entity that is owned or controlled by a covered nation or such an individual.

The United States Trade Representative (USTR) must publish a list of the applicable entities and update the list annually.

The bill includes an exception for motor vehicles or fueling and charging stations used for (1) inspecting or investigating vehicles or equipment; or (2) vehicle safety research, development, or testing.