# DHS Bars DeepSeek From Civilian Contracts

DHS issued Exclusion and Removal Order No. 2026-01 on July 24, 2026, under the Federal Acquisition Supply Chain Security Act, barring DeepSeek products and services—and third-party products or services developed using DeepSeek implementations—from federal civilian agency procurements and IT systems. Contractors performing covered contracts should investigate their own and subcontractors’ use of affected technology, report identified use or provision under applicable contract terms, and remove affected products where required. The order took effect upon issuance, and the 60-day window for agency exception requests closed September 22, 2026.

- Contractors on covered non-DoD contracts should conduct a reasonable inquiry across their technology supply chains. FAR 52.204-30 requires an initial report within three business days and a follow-up report within 10 business days when applicable.
- Companies should inventory AI components and their origins, flow down FAR 52.204-30 to subcontracts, and check SAM.gov for FASCSA orders at least every three months, as described in the signals.
- The exclusion covers third-party offerings developed using DeepSeek implementations, so procurement and compliance reviews should assess technology provenance—not only product or supplier names—and account for removal obligations and future contract performance.

**Jurisdictions:** federal
**Industries:** Information Technology
**Topics:** Regulatory Compliance, Cybersecurity, Artificial Intelligence
**Published:** October 27, 2026

### Government Entities
- Department of Homeland Security (DHS)
- Federal civilian agencies
- Federal Acquisition Security Council (FASC)
- Cybersecurity and Infrastructure Security Agency (CISA)

### Vendors
- DeepSeek (AI technology provider named in the exclusion and removal order)
- Hangzhou DeepSeek Artificial Intelligence Co., Ltd. (Developer and producer of AI applications and products subject to the exclusion order)
- DeepSeek AG (Affiliate referenced in the exclusion order)

### Sources
- [DeepSeek Ban Creates New Compliance and Reporting Obligations for Contractors | Wiley Rein LLP - JDSupra](https://www.jdsupra.com/legalnews/deepseek-ban-creates-new-compliance-and-2370045) - JD Supra
- [DHS Issues DeepSeek Exclusion and Removal Order Covering Third-Party Products Built With Its Technology | Haynes Boone - JDSupra](https://www.jdsupra.com/legalnews/dhs-issues-deepseek-exclusion-and-8813213) - JD Supra