Biden seeks ban on Chinese software in self-driving cars

[New Sancai Compilation First Release] Due to national security concerns, the U.S. Department of Commerce proposed on September 23 to ban the use of critical Chinese software and hardware in connected vehicles driving on U.S. roads. This move will effectively ban almost all Chinese cars from entering the United States. market.

The planned regulations, first reported by Reuters, would also force U.S. and other major automakers to remove critical Chinese software and hardware from U.S. vehicles in the coming years.

The Biden administration has expressed serious concerns about Chinese companies collecting data on U.S. drivers and infrastructure through connected vehicles and the potential for foreign countries to manipulate connected and navigation systems in vehicles. The White House ordered an investigation into the potential danger in February.

The bans would prevent Chinese automakers from testing self-driving cars on U.S. roads and extend to vehicle software and hardware produced by other U.S. adversaries, including Russia.

U.S. Commerce Secretary Gina Raimondo said at a press conference: "When foreign adversaries develop software to build vehicles, that means it can be used for surveillance, it can be controlled remotely, and it threatens the United States. Privacy and safety for people on the road.”

"In extreme cases, a foreign adversary could shut down or take control of all vehicles operating in the United States simultaneously, causing crashes and blocking roadways."

The move is a major escalation of ongoing U.S. restrictions on Chinese vehicles, software and parts. Earlier this month, the Biden administration locked in significant tariff increases on Chinese imports, including a 100% tariff on electric vehicles and new hikes on electric vehicle batteries and critical minerals.

Relatively few Chinese-made cars or light trucks are imported into the United States. But Raimondo said the department is "taking action before suppliers, automakers and auto parts with ties to China or Russia become commonplace and widespread in the U.S. auto industry... We will not wait to crowd our roadways." If the car is full, the risk will be significant before we take action."

Nearly all newer cars and trucks are considered "connected" with on-board networking hardware that allows Internet access, allowing them to share data with devices inside and outside the vehicle.

A senior administration official confirmed that the proposal would effectively ban all existing Chinese light cars and trucks from the U.S. market, but added that it would allow Chinese automakers "specific authorization" to seek exemptions.

White House national security adviser Jake Sullivan said in the same briefing that the United States has sufficient evidence that China has pre-deployed malware in U.S. critical infrastructure.

"With potentially millions of vehicles on the road, each of which only has a lifespan of 10 to 15 years, the risk of disruption and damage increases dramatically," Sullivan said.

The proposal calls for a software ban to take effect in the 2027 model year, while a hardware ban would take effect in the 2030 model year or January 2029.

The Commerce Department is giving the public 30 days to comment on the proposal and hopes to have it completed by January 20, 2025.

The Alliance for Automotive Innovation, which represents major automakers including General Motors, Toyota, Volkswagen and Hyundai, warned that changing hardware and software will take time. The group noted that connected car hardware and software are developed around the world, including in China, but could not elaborate on how common Chinese-made parts are in U.S. models.

(Compiled by: Wang Jimin)

(Editor: Jiang Qiming)

(Source of the article: Compiled and published by New Sancai)