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NDAA Update Nov 2, 2026: Congress returns: National security and trade provisions to watch in the FY2027 NDAA

One story on Nov. 2: Covington & Burling's Michael Lowell, Lizbeth Rodriguez-Johnson, Justin Angotti, Kirsten Lowell, Lee Williams and Erika Yeager on Congress returning from its pre-election recess the week of November 9 with the FY2027 NDAA among its largest pending items, the House having passed H.R. 8800 on July 22, 2026, 216–212 and the Senate having received it on September 14, 2026, a July 14 cloture vote on the motion to proceed to S. 4784 having failed 50–46 with a motion to reconsider still pending, a single text expected to come together in the lame-duck session competing for floor time with government funding that expires December 11, and House bill provisions including referring Section 1260H Chinese Military Companies List entries to the Federal Acquisition Security Council for possible presidential government-wide exclusion orders reaching subsidiaries and affiliates, making certain Missile Technology Control Regime (MTCR) items eligible for the AUKUS license exemption (Section 1736), barring the Department of War from buying or using technologies tied to China or other foreign adversaries including humanoid robots, blockchain networks, semiconductors made on Chinese silicon carbide wafers, Chinese optical fiber, telecom contracts with entities that could be required to disclose DoW information to a foreign government, and Chinese financial apps on DoW devices, requiring IT vendors that sell in or have operations or personnel in China, Iran, North Korea, or Russia to agree to share security vulnerabilities with DoW first, and directing DoW to track adversarial capital and beneficial ownership in the defense industrial base and review defense-supplier mergers and acquisitions without new authority to block or unwind transactions.

Bill status

No change in the bill's status: the House passed H.R. 8800 on July 22, 2026; S. 4784 has not reached the Senate floor; and the Senate is scheduled to return the week of November 9, after the November 3 election, with the NDAA deferred to the lame-duck session. Full timeline: FY2027 NDAA status.

The stories

Congress returns: National security and trade provisions to watch in the FY2027 NDAA

Covington & Burling · Nov 2, 2026

Michael Lowell, Lizbeth Rodriguez-Johnson, Justin Angotti, Kirsten Lowell, Lee Williams and Erika Yeager write that Congress is scheduled to return from its pre-election recess the week of November 9, with the FY2027 NDAA among its largest pending items. The House passed H.R. 8800 on July 22, 2026, by a vote of 216–212, and the Senate received it on September 14, 2026. A July 14 cloture vote on the motion to proceed to S. 4784 failed 50–46, and a motion to reconsider remains pending; the Senate has not passed either bill. A single text is expected to come together in the lame-duck session, competing for floor time with government funding that expires December 11. House bill provisions they flag include referring Section 1260H Chinese Military Companies List entries to the Federal Acquisition Security Council for possible presidential government-wide exclusion orders reaching subsidiaries and affiliates; making certain Missile Technology Control Regime (MTCR) items eligible for the AUKUS license exemption (Section 1736); barring the Department of War from buying or using technologies tied to China or other foreign adversaries, including humanoid robots, blockchain networks, semiconductors made on Chinese silicon carbide wafers, Chinese optical fiber, telecom contracts with entities that could be required to disclose DoW information to a foreign government, and Chinese financial apps on DoW devices; requiring IT vendors that sell in, or have operations or personnel in, China, Iran, North Korea, or Russia to agree to share security vulnerabilities with DoW first to keep DoW contracts; and directing DoW to track adversarial capital and beneficial ownership in the defense industrial base and review defense-supplier mergers and acquisitions, without giving DoW new authority to block or unwind transactions.

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