US to ban Chinese tech in cars
The US is set to prohibit specific hardware and software from China and Russia in vehicles like cars, trucks, and buses due to security concerns.
Officials expressed their apprehension that the technology involved, which is utilized for autonomous driving and connecting vehicles to various networks, could enable adversaries to “remotely manipulate cars on American roads.”
Currently, the use of software from Chinese or Russian sources in American vehicles is quite limited.
However, Commerce Secretary Gina Raimondo emphasized that these measures are “targeted, proactive” efforts to safeguard the US.
“Modern vehicles are equipped with cameras, microphones, GPS tracking, and other internet-connected technologies,” she noted in a statement.
“It doesn’t require much imagination to see how a foreign adversary with access to this data could significantly threaten our national security and the privacy of American citizens.”
In response, Chinese officials accused the US of expanding “the concept of national security” to unjustly target Chinese companies.
“China opposes the US’s expansion of the concept of national security and the discriminatory measures taken against Chinese businesses and products,” stated Lin Jian, spokesman for China’s Foreign Ministry.
“We urge the US side to respect market principles and provide an open, fair, transparent, and non-discriminatory business environment for Chinese enterprises.”
The proposal, which will now enter a comment period, is the latest from the White House aiming to limit China’s presence in the car manufacturing supply chain.
The White House has also raised tariffs on electric cars, batteries for electric vehicle and a range of other items. It has separately banned the import of Chinese-made cargo cranes, warning of cyber-security risk.
The US launched an investigation in February examining the cyber risks from so-called connected cars.
The prohibitions on software would go into effect with model year 2027, while the hardware rules would be effective three years later, giving the industry more time to re-work their supply chains.
John Bozzella, president and chief executive of Alliance for Automotive Innovation, which represents big car companies, said that though there was “very little technology – hardware or software in today’s connected vehicle supply chain that enters the US from China” the rule would force some firms to find new suppliers.
“I’ve said this in other contexts, but it applies here too: you can’t just flip a switch and change the world’s most complex supply chain overnight,” he said.
“The lead time included in the proposed rule will allow some auto manufacturers to make the required transition but may be too short for others,” he said.
He said association would continue to share its perspective as the final rules are developed.