The US will propose banning Chinese software and hardware in connected vehicles, sources told Reuters

WASHINGTON (Reuters) – The U.S. Commerce Department is expected on Monday to propose banning Chinese software and hardware in connected and autonomous vehicles on U.S. roads due to national security concerns, sources told Reuters.

The Biden administration has expressed serious concerns about Chinese companies’ collection of data on US drivers and infrastructure, as well as potential foreign manipulation of connected vehicles. The proposed regulation would ban the import and sale of vehicles from China with key communications or self-driving system software or hardware.

The department plans to give the public 30 days to comment before any finalization of the rules, the sources said, adding that the department plans to propose the software bans go into effect in the 2027 model year, and the hardware bans will effective January. 2029. The Commerce Department declined to comment Saturday.