The United States is taking a hard line against China in the realm of connected vehicles. The Commerce Department is poised to propose a ban on Chinese software and hardware in all vehicles operating on American roads, citing serious national security concerns. This proposed regulation marks a significant escalation in the US’s efforts to restrict Chinese influence in the automotive industry.
The Biden administration has expressed deep concerns about the potential for Chinese companies to collect sensitive data on American drivers, infrastructure, and even manipulate vehicles connected to the internet and navigation systems. These concerns are rooted in a broader geopolitical tension between the US and China, where technology and data have become key battlegrounds.
The proposed ban would encompass vehicles with key communications or automated driving system software and hardware originating from China. This includes vehicles with Bluetooth, satellite, and wireless features, as well as those with highly autonomous capabilities. The ban would also extend to other foreign adversaries like Russia.
The proposed rule is not a sudden development. In February, President Biden ordered an investigation into whether Chinese vehicle imports pose national security risks through their connected-car technology. He stated that “China’s policies could flood our market with its vehicles, posing risks to our national security,” and declared, “I’m not going to let that happen on my watch.”
The Commerce Department plans to give the public a 30-day window to provide feedback before finalizing the rules. The proposed timeline for implementation would see software prohibitions take effect in the 2027 model year, while hardware bans would be implemented in January 2029 or the 2030 model year.
This move has garnered support from a bipartisan group of US lawmakers who have expressed alarm about Chinese auto and tech companies collecting sensitive data during autonomous vehicle testing in the US. However, the ban has raised concerns within the automotive industry. A trade group representing major automakers, including General Motors, Toyota, Volkswagen, and Hyundai, has warned that changing hardware and software would take considerable time and disrupt established production processes.
This proposed ban is the latest chapter in the ongoing trade war between the US and China. It remains to be seen how this measure will impact the future of connected and autonomous vehicles in the United States, but it undoubtedly represents a significant shift in the landscape of technology and national security.