Sponsors (122)
Official title: To prohibit the importation, manufacture, sale, resale, or introduction into interstate commerce in the United States of connected vehicles and related software and hardware associated with foreign adversaries.
Introduced May 11, 2026 by John Moolenaar · Last progress May 11, 2026
The bill strengthens national-security controls over connected-vehicle hardware and software—potentially reducing risks from foreign-controlled components—but does so at the cost of higher compliance and consumer costs, supply-chain disruption, increased agency discretion with limited transparency, and transitional regulatory uncertainty.
Drivers, passengers, and the public will face a lower risk that foreign-controlled hardware or software (including ML/AI and remote-update vectors) can be used to remotely manipulate vehicles or exfiltrate data because the bill explicitly targets those components and frames vehicle connectivity risks for rapid federal action.
Manufacturers, vendors, and regulators get clearer coverage definitions (including ML/AI models, updates, hosting, and managed services) that reduce legal uncertainty about what hardware and software are regulated.
Importers, manufacturers, and sellers gain an authorization-and-review pathway and a required public list of authorized items (with criteria and rationale), allowing some items to enter the market safely under oversight rather than being categorically banned.
Vehicle owners, consumers, repair shops, and small suppliers are likely to face higher prices, limited parts availability, and more expensive repairs because bans or restrictions on components tied to covered foreign countries could disrupt supply chains and reduce competition.
Companies and affected parties face expanded executive emergency authority and delegated decision-making (including classified evidence and limited judicial stays), which increases agency discretion while reducing transparency and judicial oversight for businesses.
Importers, manufacturers, and sellers confront significant compliance costs and steep civil penalties (including large per-violation fines and daily penalties), increasing financial risk and administrative burden for commerce tied to covered items.
Based on analysis of 8 sections of legislative text.
Phases in bans on importing, manufacturing, selling, reselling, or integrating connected vehicles, covered software, and hardware tied to China, Russia, Iran, or North Korea starting in 2027 and expanding to hardware by 2030.
Prohibits the import, manufacture, sale, resale, and interstate introduction of connected vehicles, certain connected-vehicle hardware, and covered software when those items originate in, are designed in, or are controlled by entities from designated foreign adversary countries (China, Russia, Iran, North Korea). The law phases in prohibitions beginning January 1, 2027 for vehicles and covered software rules, and expands to hardware prohibitions beginning January 1, 2030 with a final implementation deadline before January 1, 2032. Creates detailed definitions to specify covered vehicles, components, and transactions; ties the threat model to an existing national emergency authority over foreign-adversary risks to information and communications technology supply chains; directs interagency coordination and advisory committee consultation; requires annual reporting to Congress on enforcement, inventories, and effectiveness; and preserves existing Commerce Department rules and their exceptions while mandating review of those exceptions before 2030.