U.S. Commerce Department Proposes Rule to Block Chinese and Russian Technology in Connected Vehicles

The U.S. Department of Commerce's Bureau of Industry and Security (BIS) has proposed a new rule to prohibit the sale or import of connected vehicles and components with links to China or Russia. The rule targets key systems like the Vehicle Connectivity System (VCS) and Automated Driving System (ADS), which could allow adversaries to access sensitive data or manipulate vehicles. These are the critical systems that, through specific hardware and software, allow for external connectivity and autonomous driving capabilities in connected vehicles. Malicious access to these systems could allow adversaries to access and collect our most sensitive data and remotely manipulate cars on American roads.

The rule would also prohibit manufacturers with a nexus to the PRC or Russia from selling connected vehicles that incorporate VCS hardware or software or ADS software in the United States, even if the vehicle was made in the United States.

This move is aimed at safeguarding U.S. national security and protecting drivers from cybersecurity risks. The proposed rule would affect all on-road vehicles but excludes off-road vehicles like those used in agriculture or mining. The ban on software would begin in 2027, with hardware restrictions starting in 2030.

The proposal comes amid growing concerns over Chinese and Russian technology infiltrating critical U.S. infrastructure. Public comments on the rule are encouraged, following a previous public consultation earlier in 2024.