Blocking electric vehicles from China U.S. lawmakers are rushing to propose legislation to completely ban Chinese 'smart cars' from operating on American roads amid fears of data breaches and damage to the domestic auto industry.
On 12 May 2026,CNBC reportedthat bipartisan members of Congress from Michigan announced a bill to ban connected vehicles, including software and hardware made in China, from the U.S. market. This move comes ahead of President Donald Trump's upcoming meeting with Chinese President Xi Jinping this week.
Republican Congressman John Moolnar of Michigan, chair of the House Special China Committee, and Democratic Congresswoman Debbie Dingell, also from Michigan, unveiled the "Connected Vehicle Security Act," which aligns with a similar Senate bill.
Senators Elissa Slotkin, a Democrat from Michigan, and Bernie Moreno, a Republican from Ohio, jointly drafted the bill aimed at making permanent the smart vehicle controls initiated under President Joe Biden's administration.
This is due to national security concerns and data collection risks. These vehicles can access the internet and wirelessly connect with other cars or trucks, technology supporters say helps improve road safety.
Congresswoman Dingell stated, "We are not competing on a level playing field as long as China continues subsidizing manufacturers, manipulating currency, and using forced labor. That is not fairness; China is trying to infiltrate and fight us from within."
Under the bill, software-related bans on smart vehicles would take effect from 1 January 2027, while hardware restrictions would begin on 1 January 2030. The legislation also covers Russia, North Korea, and Iran.
The bill was introduced amid mounting warnings from automakers, suppliers, dealers, and steel producers that allowing heavily subsidized Chinese carmakers into the U.S. market could lead to price undercutting and harm America's industrial base.
In April 2026, over 120 bipartisan House members urged President Trump not to permit Chinese automakers into the U.S. after he indicated in January openness to Chinese factories building in America if they hired American workers.
However, Commerce Secretary Howard Lutnick and U.S. Trade Representative Jamison Greer later confirmed there were no plans to lift current restrictions.
Congresswoman Dingell said, "With President Trump, you never know what he'll do until he acts. So, what we're all trying to do is send him a message that this is the future of American labor and the auto industry, something he needs and wants to protect."