Connected Vehicle Ban Finalized

The Bureau of Industry and Security (BIS) issued a final rule prohibiting transactions involving the sale or import of connected vehicles or components integrating specific hardware and software linked to the PRC or Russia.

The final rule bans the import of VCS hardware or connected vehicles containing such hardware, as well as the import and sale of vehicles with VCS or ADS software linked to the PRC or Russia. VCS encompasses systems enabling external communication, such as telematics, Bluetooth, cellular, satellite, and Wi-Fi modules. ADS refers to components enabling highly autonomous vehicle operation without a driver.

The rule also prohibits manufacturers with a sufficient nexus to the PRC or Russia from selling new connected vehicles that incorporate VCS hardware or software or ADS software in the United States, even if the vehicle was made in the United States.