The US government has announced a new policy that will bar funding for science projects with partnerships in China, citing national security concerns. The policy, announced on July 8, will take effect from the start of the next fiscal year on October 1, 2027.
According to the National Science Foundation, the policy will disallow all NSF-funded projects with “restricted entities” from that date. They stated that the US government has determined that the behaviour of these entities warrants restrictions based on national security and other foreign policy interests.
Restrictions on research partnerships are being implemented. The incoming policy also prohibits senior personnel on NSF awards from holding positions at or receiving research support from these restricted entities.
The move is seen as an expansion of the Trump administration’s scrutiny of Chinese partnerships, which has already led some institutions to end long-standing collaborations in China. John Moolenaar, chairman of the US Select Committee on China, commended the “common sense security policy reforms” for protecting taxpayer-funded research.
Critics argue that the policy will damage US science, which is already facing disruptions due to a slowing of federal grants. The NSF, which funds roughly a quarter of basic academic research, has made approximately 2,200 grants so far in FY26, totalling $2.2 billion in funding as of July 5.
This compares to $2.7 billion administered at the same time last year and an average of $3.4 billion administered at this time from FY21-FY24. The National Science Foundation is on track for its worst year in over half a century.
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The agency has been affected by staffing and spending cuts under the Trump administration, which critics say are already damaging US research. Among the universities on the government’s restricted entities list are Beijing Institute of Technology, Nanjing University, and the University of Science and Technology of China.
Policymakers from both sides of the political aisle have expressed concerns about China exploiting US research. Leading figures in the National Institutes of Health and the US Department of Energy have said they are watching the NSF’s policy closely.
Democrats have agreed with Republicans on the threat of research theft, but warned that staffing and spending cuts to science under the Trump administration are hindering the work of American scientists. The government has also launched a fresh investigation into Harvard University’s Chinese partners.
It is alleged that they are providing funding for financial aid programs that favour Chinese students at the expense of domestic students.
The NSF was approached for comment but did not immediately respond.
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