US Commerce Department proposes banning Chinese vehicles, connected car technology from US roads

The United States Commerce Department has proposed the prohibiting of key Chinese software and hardware in connected vehicles on American roads for national security concerns, as well as those containing components from Russia.

This proposed move is the latest escalation in restrictions against vehicles, software and components from China after US president Joe Biden announced a range of new tariffs on goods from China, including duty on China-made electric vehicles which will be quadrupled from 25% to 100%.

“The Department of Commerce is issuing a notice of proposed rulemaking (NPRM) that would, if finalised as proposed, prohibit the sale or import of connected vehicles that incorporate certain technology and the import of particular components themselves from countries of concern, specifically the People’s Republic of China (PRC) and Russia,” the statement read.

While connected vehicles offer many benefits, they also pose new and growing threats, according to the US department of commerce. “These technologies include computer systems that control vehicle movement and collect sensitive driver and passenger data as well as cameras and sensors that enable automated driving systems and record detailed information about American infrastructure,” it said.

The department also claims that certain hardware and software enable the capture of information on geographic area or critical infrastructure and “present opportunities for malicious actors to disrupt the operations of infrastructure or the vehicles themselves,” adding that “certain technologies in connected vehicles from the PRC and Russia present particularly acute threats.”

If the proposed regulation goes through, it would effectively ban Chinese cars from the United States market, and would also force automakers in America and other regions to remove key software and hardware from “countries of concern” from vehicles in the United States.

This would also prevent the testing of self-driving cars from Chinese automakers on US roads, and could be extended to other US adversaries, according to Reuters. The rule would mean a ban on all vehicles made in China, however the commerce department was quoted by the news wire as saying that Chinese automakers would be allowed to seek “specific authorisations” for exemptions.

The Biden administration previously raised concerns regarding data collection on US drivers and infrastructure by connected vehicles of Chinese origin, and of potential foreign manipulation of vehicles which are connected to the internet. The White House ordered an investigation in February, the news wire reported.

The proposed ruling would specifically cover what the US department of commerce terms as vehicle connectivity systems, described as “systems and components connected the vehicles to the outside world, including via Bluetooth, cellular, satellite and WiFi modules,” and automated driving systems.

If passed, the proposed ruling on the prohibition of software would take effect for the 2027 model year of vehicles, while hardware restrictions would take effect in the 2030 model year, or on January 1, 2029, according to the US commerce department’s statement.

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