US To Ban Smart Cars Containing Chinese Tech


(MENAFN- The Peninsula) AFP

Washington: The United States finalized a rule Tuesday effectively barring Chinese technology from cars in the American market, taking aim at software and hardware from the world's second biggest Economy on national security risks.

The announcement comes as outgoing President Joe Biden wraps up efforts to step up curbs on Chinese-made technology, and after a months-long regulatory process.

The rule also follows an announcement this month that Washington is mulling new rules to address risks posed by drones with tech from adversaries like China and Russia.

"Cars today aren't just steel on wheels -- they're computers," said Commerce Secretary Gina Raimondo of the rule that also targets Russian technology.

"This is a targeted approach to ensure we keep PRC and Russian-manufactured technologies off American roads," she added, referring to the People's Republic of China.

National Economic Advisor Lael Brainard added that "China is trying to dominate the future of the auto industry," but connected vehicles containing software and hardware systems linked to foreign rivals could risk the misuse of sensitive data or interference.

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The Peninsula

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