A bipartisan group of US lawmakers has introduced the Connected Vehicle Security Act, a sweeping legislative proposal to ban Chinese-linked connected vehicles, software, and hardware from American roads, citing national security risks, unfair trade practices, and threats to the domestic auto industry. The bill was introduced on Sunday, 11 May 2025, and marks one of the most direct legislative strikes yet against Chinese automotive technology in the United States.

Who Introduced the Bill

Congressman John Moolenaar, a Republican from Michigan and chairman of the House Select Committee on China, co-introduced the legislation alongside Democratic Congresswoman Debbie Dingell. The bipartisan pairing is notable in a deeply divided Congress, reflecting rare cross-aisle consensus on the perceived threat from Chinese technology in critical infrastructure.

"The American auto industry is vital for jobs, national security, and the future of America's manufacturing base," Moolenaar said in a statement. "China cheats in every industry, and in autos it is overproducing vehicles and components, and selling them for cheap in hopes they will put our companies out of business," he added.

Key Provisions and Timeline

The bill would prohibit the importation, manufacture, sale, or introduction into interstate commerce of connected vehicles originating from or controlled by designated "covered foreign adversary countries" beginning January 1, 2027. The legislation specifically targets China, Russia, North Korea, and Iran.

Restrictions on connected vehicle software linked to those countries would also take effect in 2027, while curbs on connected vehicle hardware would kick in from January 1, 2030. Violations could trigger civil penalties of at least $1.5 million per transaction. The proposal directs the Secretary of Commerce to establish compliance mechanisms, including declarations of conformity, advisory rulings, and waiver procedures.

Spying Fears and Data Security Concerns

According to the bill, connected vehicles collect and transmit "vast amounts of sensitive data, including geolocation, operational, and personal information," and can potentially be remotely accessed or controlled. Lawmakers argue that Chinese-linked vehicles embedded in American infrastructure pose a surveillance and sabotage risk that goes beyond ordinary trade competition.

The legislation notes that China exports nearly 8 million vehicles annually — approximately twice the volume exported by any other country — giving it outsized influence over global automotive supply chains.

Allegations Against CATL and BYD

Moolenaar specifically named Chinese firms CATL and BYD, alleging they use "slave labor" to gain a pricing advantage over American manufacturers. "These companies should not be allowed to do business in America, and their products shouldn't be in our cars or threatening our infrastructure," he said. These are allegations made by the lawmaker and have not been independently verified.

Congresswoman Dingell framed the bill as a safeguard against repeating the industrial decline that devastated manufacturing communities in states like Michigan. "I am not interested in repeating the mistakes that hollowed out manufacturing communities across this country while politicians told workers globalization would somehow magically work itself out," she said.

Broader Context

The bill reflects growing bipartisan concern in Washington over Chinese technology penetrating critical sectors of the US economy, particularly electric vehicles, batteries, and advanced telecommunications. Chinese automakers, including BYD, have rapidly expanded globally in recent years, raising alarms among US lawmakers over cybersecurity, supply chain dependence, and industrial competition. This comes amid broader US-China trade tensions that have already seen sweeping tariffs imposed on Chinese goods across multiple sectors. If passed, the Act would represent one of the most significant legislative barriers to Chinese automotive technology in US history. The bill's progress through Congress will be closely watched by global automakers, battery suppliers, and trade negotiators alike.