The Biden administration says it will look into Chinese-made “smart cars” that potentially collect private data on Americans who use them, citing possible threats to national security.
New rules intended to stop China from tracking drivers and their data through advanced technology in electric cars and other so-called connected vehicles may result from the investigation. Authorities are worried that functions like driver assistance technology might be successfully utilized to eavesdrop on Americans.
President Joe Biden stated he is taking extraordinary measures to protect American data, even if the action does not include a restriction on Chinese imports.
Laptops 1000In a statement released on Thursday, Biden stated, “China is determined to dominate the auto market, including using unfair practices.” “China’s policies could put our national security in danger by flooding our market with its automobiles. That is not going to occur under my supervision.
Biden and other officials pointed out that China has placed extensive limitations on foreign automobiles, including American cars.
According to Gina Raimondo, the secretary of commerce, connected cars “are like smartphones on wheels” and present a significant risk to national security.
“The internet is accessible from these cars. They get a ton of private information about the drivers, including where the car goes, biometric data, and personal information, she told reporters late on Wednesday. Therefore, it doesn’t take a creative mind to see how a foreign foe like China, with mass access to this kind of data, might seriously jeopardize both American national security and residents’ privacy.
She and other officials stated that there are other concerns besides data collecting. Malicious actors may also be able to remotely activate or control connected cars.
Imagine that someone in Beijing might instantly and simultaneously disable thousands or even hundreds of thousands of Chinese-connected automobiles on American roadways, according to Raimondo. Therefore, it’s unsettling to consider the espionage and cyber threats that these present.
Because of the high taxes the United States imposes on Chinese automobile imports, not many Chinese cars are now brought into the country. Officials are still worried that tariffs won’t be enough to solve the issue. Some Chinese businesses establish assembly operations in neighboring nations like Mexico to evade US tariffs.
As per the announcement made on Thursday, the Commerce Department is going to issue an advanced notice of proposed rulemaking to initiate an inquiry into the potential threats to national security presented by “connected vehicles” originating from China and other nations deemed adversarial to the US.
According to the White House, Commerce will ask the public and the car industry for input on the risks’ nature and possible countermeasures. After that, authorities will draft proposed laws governing the integration of technology in cars from China and other “countries of concern,” such as Iran and Russia.
“We’re taking action now before cars made in China proliferate in the US and possibly jeopardize our national security and privacy,” Raimondo declared.
Under executive orders from President Biden, the Bureau of Industry and Security of the Commerce Department has launched an inquiry as its first response to a national security concern involving domestic information and communications technology.
According to the White House, modern technologies are being used more and more by electric and other automobile manufacturers to offer driver-assist functions enable navigational tools, and lower operating costs and carbon emissions through fast charging.
According to the White House, there are vulnerabilities to national security associated with the cars’ constant connectivity to personal devices, other vehicles, U.S. infrastructure, and their original manufacturer.
Laptops 1000According to the White House, new risks and vulnerabilities “may arise with connected autos if a foreign government gained access to these vehicles’ systems or data.
Elevated tariffs enforced by the Trump administration and maintained by Biden have successfully prevented Chinese automakers from joining the American market; nevertheless, American authorities and business executives are concerned that since China depends more on exports, Chinese enterprises may decide to bear the extra expenses.
Chinese automakers are seeking to expand their manufacturing abroad; this year, EV behemoth BYD announced plans to open its first plant in Europe.
Ford CEO Jim Farley stated that his business and others will find it difficult to compete with Chinese manufacturers on EVs since the latter had increased their EV market share in Europe from 0% to roughly 10% in just two years.
The proposed environmental rules in the United States, according to John Bozzella, head of the Alliance for Automotive Innovation, a group that advocates for major automakers, might give China “a stronger foothold in America’s electric vehicle battery supply chain and eventually our automotive market.”
Last year, the European Union launched a trade probe into Chinese subsidies for electric vehicles because of worry over growing imports from China. The inquiry is still underway.
