1 week Ago By Varun Godinho
The US is planning to ban certain hardware and software made in China and Russia from cars, trucks and buses on US roads over potential security risks. However, one of China’s leading destination markets for its vehicles, Australia, has not yet signalled that it is prepared to follow the US’ lead. The proposed rule in the US focuses on hardware and software integrated into the Vehicle Connectivity System (VCS) and software integrated into the Automated Driving System (ADS).
Officials said they were worried that the technology in question, used for autonomous driving and to connect cars to other networks, could allow enemies to “remotely manipulate cars on American roads”. “Cars today have cameras, microphones, GPS tracking, and other technologies connected to the internet. It doesn’t take much imagination to understand how a foreign adversary with access to this information could pose a serious risk to both our national security and the privacy of US citizens,” said US Secretary of Commerce Gina Raimondo.
“To address these national security concerns, the Commerce Department is taking targeted, proactive steps to keep PRC and Russian-manufactured technologies off American roads.” The ban would exclude vehicles not used on public roads such as agricultural or mining vehicles. The prohibitions on software would take effect for Model Year 2027 and the prohibitions on hardware would take effect for Model Year 2030, or January 1, 2029 for units without a model year.
Chinese officials have hit back at the proposed US rules and said that the US was broadening “the concept of national security” to unfairly target Chinese firms. “China opposes the US’s broadening of the concept of national security and the discriminatory actions taken against Chinese companies and products,” said Lin Jian, spokesman for China’s Foreign Ministry, in a statement, reported the BBC. “We urge the US side to respect market principles and provide an open, fair, transparent, and non-discriminatory business environment for Chinese enterprises.
” The US has also raised tariffs on electric cars, batteries for electric vehicles and a range of other items. It has separately banned the import of Chinese-made cargo cranes, warning of cyber-security risks. Here in Australia, the country is not reported to be considering bans on Chinese tech in cars.
The first Chinese carmaker to arrive in Australia did so 15 years ago when Great Wall Motors, now abbreviated to GWM, launched in Oz on 24 June 2009 with a pair of utes. Data published by the Federal Chamber of Automotive Industries (FCAI) in January this year showed that 193,433 vehicles made in China were sold in Australia last year – a 57.5 per cent increase on 2022 sales.
China has now become the third-biggest source of new vehicles sold in Australia, accounting for 15.9 per cent of the total – behind Japan (28.4 percent) and Thailand (21.
7 percent). According to the FCAI data, new cars from China have now overtaken South Korea which had a 13.3 per cent share of the Australian market last year.
China was the fourth-largest source of new vehicles in Australia in 2021 and 2022 – overtaking Germany and the US – up from sixth in 2020, eighth in 2019, and 12th in 2018..
