Two members of the US House of Representatives have introduced legislation aimed at turning existing federal restrictions on Chinese-linked connected vehicles into law, while expanding the scope of those curbs to other foreign adversaries.
Select Committee on China Chairman John Moolenaar and Congresswoman Debbie Dingell introduced the Connected Vehicle Security Act.
The bill would prohibit the importation, manufacture, and sale of connected vehicles, software and hardware tied to China.
The proposed legislation would codify rules finalised under the administration of former US President Joe Biden in January 2025.
Those measures targeted connected vehicle components associated with China and Russia.
Its scope would also be broadened to include North Korea and Iran.
Moolenaar said: “The American auto industry is vital for jobs, national security, and the future of America’s manufacturing base. China cheats in every industry, and in autos it is overproducing vehicles and components, and selling them for cheap in hopes they will put our companies out of business.
“In some cases, Chinese companies, including CATL and BYD, use slave labour to undercut the fair wages of hardworking Americans. These companies should not be allowed to do business in America, and their products shouldn’t be in our cars or threatening our infrastructure.”
Under the bill, connected vehicles originating from or controlled by a designated foreign adversary nation would be prohibited from entering US commerce from 1 January 2027.
Restrictions covering software linked to foreign adversaries would take effect on the same date, while related hardware limits would begin on 1 January 2030.
Responsibility for establishing a declaration of conformity process would fall to the Secretary of Commerce.
Duties would also include creating authorisation and waiver procedures, alongside mechanisms for binding rulings and advisory opinions to support industry compliance.
Civil penalties under the legislation would amount to at least $1.5m for each violation.
Lawmakers said connected vehicles pose potential data security risks because of their ability to collect and transmit sensitive information, including location, operational and personal data.
According to the bill, some connected vehicles may also be capable of remote access or control.
The measure specifically highlights concerns that Chinese automotive companies are required under Chinese law to cooperate with state security and intelligence agencies.
Legislation is being presented as an extension of measures introduced during both the Trump and Biden administrations.
In 2019, President Donald Trump signed an executive order declaring a national emergency over foreign threats to the US information and communications technology supply chain.
Information provided alongside the bill states that order created the legal foundation for subsequent restrictions.
