BIS Finalizes Connected Vehicle Prohibitions
Auto sector manufacturers and importers have a little more than a year to eliminate from their supply chains Chinese software that enables automated driving systems or enables a vehicle to connect to the outside world at a frequency above 450 MHz, according to a Bureau of Industry and Security final rule to be published in Thursday's Federal Register and effective March 17. The White House said in a fact sheet that these systems cannot be designed or manufactured by companies from adversary countries because they could imperil infrastructure and "enable mass collection of sensitive information, including geolocation data, audio and video recordings, and other pattern-of-life analysis."
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Automated driving is defined as sustained driverless operation -- it doesn't cover lane-assist, automated braking or parking functions. BIS said it will post future guidance.
Chinese hardware that enables the out-of-car communication above 450 MHz will be banned beginning in the 2029 model year or, for items that aren't associated with a model year, before Jan. 1, 2029. The final rule adds that later imports that would otherwise be banned, that are to repair completed connected vehicles model year 2029 or earlier, also will be allowed. Examples of these sorts of hardware are telematics control units, cellular modems and antennas that collect data from GPS. The agency said the list of parts is not exhaustive but clarified the rule to say the hardware must "directly enable" the connected capabilities.
The White House noted that Chinese firms manufacturing cars in the U.S. -- Polestar and Volvo are examples -- that include advanced features that qualify them as connected vehicles would be banned from sale after the 2026 model year. They would be covered even if they didn't contain prohibited telematics or other technology. However, BIS could allow those companies to continue in the U.S. market with a specific authorization. The companies didn't respond to a request for comment by deadline. Similarly, Chinese manufacturers, even with cars that don't use Chinese software for automated driving, are prohibited from offering taxi services or ride-sharing rentals.