Beginning with model-year 2027 vehicles arriving at US dealerships, automakers must certify that covered software in their connected systems was not designed, developed, manufactured or supplied by entities linked to China.
The Commerce Department’s Bureau of Industry and Security rule covers passenger vehicles weighing less than 10,001 pounds. It prohibits the import or sale of vehicles containing Chinese-linked software used in vehicle connectivity systems, including telematics and Bluetooth, cellular, satellite and Wi-Fi functions. It also covers software enabling highly automated vehicles to operate without a driver.
The rule additionally bars connected-vehicle manufacturers owned by, controlled by or subject to the jurisdiction of China from selling vehicles in the United States, even when the vehicles are assembled there. Manufacturers and importers must file annual declarations of conformity and conduct due diligence on their supply chains. Transactions may proceed only if they qualify for a general authorization or receive specific approval from the Commerce Department.
The software restrictions are the first stage of a wider ban. From January 1, 2029, the United States will also prohibit imports of Chinese-linked hardware used in vehicle connectivity systems.