What does foreign entity of concern mean?
Foreign entity of concern is the US IRA §30D exclusion term incorporated from another U.S. statute for identifying restricted entities in battery and clean-vehicle supply chains.
foreign entity of concern
A regulatory term referring to foreign entity of concern (as defined in section 40207(a)(5) of the Infrastructure Investment and Jobs Act (42 U.S.C. 18.
1 official sourcessingle_source
Official definitions by source
US IRA §30D
26 U.S.C. § 30D - Clean Vehicle Credit
foreign entity of concern (as defined in section 40207(a)(5) of the Infrastructure Investment and Jobs Act (42 U.S.C. 18741(a)(5)))
Referenced by incorporation in § 30D(d)(7); not internally defined in § 30D itself.
Reference: Section 30D(d)(7) (incorporated reference)
Non-EU context note
This term is defined in U.S. law (26 U.S.C. § 30D or § 45X) and is not part of EU regulatory vocabulary. It is included in this glossary because battery manufacturers and EV producers operating in both the EU and US markets need to navigate both legal frameworks simultaneously. Definitions in US and EU law for similar concepts (e.g. battery cell, battery module) are not identical and should not be treated as interchangeable.
Practical application
This term matters when critical-mineral or battery-component sourcing must be screened for entities that can disqualify a vehicle from credit eligibility.
Minespider commentary
For Minespider, foreign entity of concern is a supply-chain screening term that should be handled as evidence about counterparties and control, not just geography.
Common confusions
- Assuming the everyday meaning of foreign entity of concern is enough without checking the official source definition.
- Using foreign entity of concern as a loose generic label rather than the narrower meaning used in the source text.
- Confusing foreign entity of concern with a neighboring legal actor or responsibility term without checking how the source allocates obligations.