The United States has ordered federal civilian agencies to remove DeepSeek products from their information technology systems and stop purchasing technology from the Chinese artificial intelligence company, citing potential national security and data privacy risks.
The US Department of Homeland Security (DHS) issued the order under the Federal Acquisition Supply Chain Security Act of 2018. The directive also covers DeepSeek affiliates and third-party products and services developed using the company’s technology, according to a notice published in the Federal Register on October 20, 2026.
The restriction applies to federal civilian executive branch agencies, with national security systems and secure compartmented information systems excluded from its scope. The action marks a significant step in Washington’s efforts to limit potential technology supply-chain risks associated with Chinese AI products.
Why the US Is Restricting DeepSeek
DHS raised concerns that DeepSeek technology could expose sensitive information involving government employees and contractors to Chinese authorities.
The department also identified potential risks involving malware, security vulnerabilities and the possibility that information gathered through the technology could be used to develop intelligence about US government entities.
These are risks cited by US authorities and should not be interpreted as independent proof that DeepSeek has transferred sensitive government information to China.
The order follows a review of a recommendation from the Federal Acquisition Security Council, the body responsible for advising the US government on technology supply chain security risks.
Ban Covers Third-Party Products Using DeepSeek Technology
The directive extends beyond DeepSeek’s own chatbot, applications and services.
Federal civilian agencies must also remove products developed by DeepSeek affiliates, along with third-party products and services developed using DeepSeek implementations. Agencies are also prohibited from procuring covered products and services.
This wider scope could complicate compliance because government technology systems often rely on software supplied by multiple vendors. Agencies may need to identify whether products already deployed in their systems incorporate covered DeepSeek technology.
The order is not a blanket prohibition on DeepSeek for every American business or individual. Its stated scope concerns federal civilian agency IT systems and procurement.
DeepSeek Faces Wider US Government Scrutiny
The latest action adds to growing scrutiny of DeepSeek and other Chinese technology providers in the United States.
DeepSeek has attracted international attention for its AI models, which compete in areas such as coding, reasoning and automated tasks. Its comparatively low-cost AI offerings have also intensified competition in the global AI market.
The DHS order comes shortly after DeepSeek announced an update to its V4.1 Flash model. However, the published notice does not establish that the model update itself triggered the restrictions.
The US government’s concerns centre on the security of federal information systems and the potential risks associated with technology developed by a company operating in China.
The decision highlights a growing challenge for public-sector organisations as they adopt increasingly capable AI tools while trying to protect sensitive information and manage software supply-chain risks.
