The U.S. Commerce Department has proposed a regulation to effectively bar Chinese software and hardware in connected vehicles on American roads, citing national security concerns. The proposed rule, which would take effect in the 2027 model year for software and in 2029 for hardware, aims to prevent potential foreign manipulation of internet-connected vehicles and protect against data collection by Chinese automakers. This move would also extend to vehicle components from Russia and could be applied to other adversarial nations.
The Biden administration expressed concerns over the risks posed by Chinese vehicles connected to U.S. infrastructure and launched an investigation earlier this year. Commerce Secretary Gina Raimondo emphasized the urgency of the regulation, stating that it is critical to act before Chinese-made car components become more widespread in the U.S. auto market. The new rules would require automakers like General Motors and Ford to stop importing vehicles manufactured in China unless they receive specific exemptions.
The proposed regulation will allow 30 days for public comment and is expected to be finalized by January 2024. While Chinese officials have criticized the proposal, the Alliance for Automotive Innovation, representing major automakers, acknowledged that the U.S. auto industry currently imports minimal connected vehicle hardware from China but noted that some companies may need additional time to comply.
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