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Bipartisan legislation approved on July 22 by the Senate Commerce Committee would effectively ban Chinese vehicles from the U.S. market.
The proposed Connected Vehicle Safety Act (S. 4429) would prohibit the import and sale of Chinese vehicles designed for wireless connections beginning in January 2027. Movement on the proposed bill — which also covers vehicles tied to Russia, Iran, and North Korea — comes as U.S. automakers face growing competition internationally.
The measure would prevent the Chinese Communist Party from being able to “take over the steering, the braking, and the acceleration” of vehicles in the U.S., Senator Bernie Moreno (R-Ohio), who sponsored the bill, said before the vote.
“That obviously is an intolerable national security risk,” he added.
General Motors Co., Subaru Corp., Honda Motor Co., Waymo LLC, and the Motor and Equipment Manufacturers Association that represents suppliers have lobbied this year on the bill, according to records.
The proposal would implement similar restrictions on connectivity software from the four countries starting next year. A similar ban applying to hardware would take effect in January 2030.
The language includes an exception for manufacturers tied to joint ventures and subsidiaries where no more than 15% of the ownership is tied to China or those three countries. Mercedes-Benz Group AG has lobbied against that provision.
A House version of the bill has yet to advance out of committee.
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