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U.S. Department of Commerce Proposes Ban on Chinese Auto Hardware and Software used in Vehicle Connectivity Systems

The United States Department of Commerce has proposed a rule that would ban imports of Chinese vehicles as well as automotive hardware and software components involved with an automobile’s vehicle connectivity systems (VCS). VCS allows vehicles to communicate externally through Bluetooth, cellular, satellite, and Wi-Fi telematics. Some U.S. government officials have expressed concern that adversarial entities like the Chinese government could exploit these technologies to spy and collect sensitive information on American citizens. They are also concerned that these technologies could enable the Chinese government to take control of vehicles equipped with advanced driving systems (ADS).

If finalized, the software ban would take affect starting with model year 2027 vehicles. The hardware ban would go into effect at the beginning of 2029.

Click here to read the proposed rule in its entirety.

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