The Biden administration proposed new rules blocking the \u201csale or import\u201d of connected vehicle software originating from \u201ccountries of concern,\u201d a move that would effectively ban all auto imports in the US from China. <\/p>\n<\/div>\n
Vehicles with hardware and software from China pose an \u201cacute\u201d threat to the US\u2019s national security, the White House said in a statement<\/a>. This includes the potential for \u201csabotage and surveillance, such as remotely disabling a vehicle in the middle of the road.\u201d<\/p>\n<\/div>\n The rules would cover anything that connects a vehicle to the outside world, such as Bluetooth, Wi-Fi, cellular, and satellite components. It also addresses concerns that technology like cameras, sensors, and onboard computers could be exploited by foreign adversaries to collect sensitive data about US citizens and infrastructure.<\/p>\n<\/div>\n Vehicles with hardware and software from China pose an \u201cacute\u201d threat to the US\u2019 national security<\/p>\n<\/div>\n<\/div>\n The rules stem from\u00a0an investigation launched earlier this year<\/a>\u00a0by the Commerce Department into connected vehicle software produced in China and other nations that are considered antagonistic to the US. The regulations would force American automakers and suppliers to remove Chinese-made software and hardware from their vehicles in the coming years. <\/p>\n<\/div>\n Earlier this month, the Biden administration locked in new tariffs on Chinese imports, including a 100 percent duty on electric vehicles and new hikes on Chinese made batteries and key minerals.<\/p>\n<\/div>\n The proposal was the latest escalation in the ongoing trade restrictions put in place on Chinese-made light-duty vehicles, as well as component parts like computers and batteries. And it comes at a time when China is churning out more cars then ever before, earning its status as the No. 1 auto exporter in the world. <\/p>\n<\/div>\n In particular, China has cracked the code on budget-priced, highly affordable EVs, while US and European manufacturers continue to struggle to release their own models. The BYD Seagull<\/a>, for example, was the country\u2019s bestselling vehicle in August, with about 190 miles of range and a sticker price of around $10,000. Even with a 100 percent tariff, the Seagull would still sell for a price much cheaper than most domestic made EVs. <\/p>\n<\/div>\n China has cracked the code on budget-priced, highly affordable EVs<\/p>\n<\/div>\n<\/div>\n US officials have expressed concern that allowing China to export EVs to the country would devastate domestic manufacturers \u2014 a sentiment backed by auto executives. Tesla CEO Elon Musk has said China would \u201cdemolish\u201d the US auto industry without trade barriers \u2014 but then later reversed himself and said he opposed tariffs<\/a>. <\/p>\n<\/div>\n