US Launches Probe into Chinese Auto Manufacturers Over National Security Concerns

US Launches Probe into Chinese Auto Manufacturers Over National Security Concerns

The U.S. government has launched an investigation into Chinese auto manufacturers over potential national security concerns. Specifically, they are looking into “connected vehicles” – cars with advanced technology that interacts with drivers’ personal devices and data.

US Launches Probe into Chinese Auto Manufacturers Over National Security Concerns

Brands like Build Your Dreams (BYD), Ineos and MG have been rapidly gaining market share in Western countries thanks to their ultra-cheap pricing. But their high-tech models have raised alarms for the U.S. Department of Commerce. These internet-enabled cars are constantly connecting to things like infrastructure, other vehicles, and manufacturers overseas.

 

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The core issue is data privacy. Connected cars collect tons of sensitive driver information via cameras and sensors. If that data gets into the hands of the Chinese government, it could present a major security risk. There are Chinese intelligence laws that require companies to support surveillance efforts and cooperate with authorities.

So the Commerce Department has opened a probe to assess the risks posed by foreign automakers. They will gather intel from industry sources and the public to understand potential vulnerabilities. Findings may inform new regulations around technology use in vehicles from countries like China.

Stakeholders from car manufacturers linked to security concerns are being urged to engage with the Commerce Department. The goal is to maximize protection for U.S. interests while minimizing disruption. But Chinese brands continue gaining market share with budget-friendly high-tech models. It remains to be seen how emerging players like BYD will be impacted by America’s escalating surveillance of Chinese tech. One way or another, connected vehicles are driving growing tensions between the two superpowers.