U.S. Moves to Ban Chinese Tech in Cars Over Security Concerns

The Biden administration's proposed regulation aims to mitigate cybersecurity risks but may impact the EV market and innovation.

The draft rule targets Chinese and Russian connectivity and automation technology in cars sold in the U.S., citing national security risks.
Commerce Secretary Gina Raimondo highlighted potential threats, including espionage and the ability to remotely control or disable vehicles.
The regulation follows previous U.S. actions to limit Chinese technology, such as bans on Huawei equipment and TikTok.
Experts warn the ban could slow decarbonization efforts and stifle innovation in the U.S. EV market by removing low-cost, high-quality Chinese options.
The rule is in a 30-day comment period and, if finalized, would take effect for software in 2027 and for hardware in 2029.