US Discusses Connected Car Regulations with South Korea and Allies Including China

Strengthening Alliance and Policy Coordination to Regulate Chinese Technology
US Appears to Impose Connected Car Regulations on China Soon

The United States is seeking to coordinate with key allies, including South Korea, to regulate the use of Chinese technology in connected vehicles. The U.S. government's move to impose regulations on Chinese-made connected vehicles appears imminent.

According to the U.S. Department of State on the 1st (local time), a meeting involving key allies, partners, and industry representatives was held on the 31st of last month in cooperation with the White House to address national security risks related to connected vehicles.

The meeting was attended by government officials from South Korea, Australia, Canada, the European Union (EU), Germany, India, Japan, Spain, the United Kingdom, and other partner countries. They exchanged views on connected vehicles, certain components and related data, and cybersecurity risks.

Participants shared the understanding that connected vehicles are emerging as critical access points to core infrastructure by linking with other vehicles, personal devices, communication networks, power grids, and other foundational facilities. The Department of State explained that the U.S. and key participating countries agreed to establish cybersecurity standards and jointly explore ways to mitigate risks related to connected vehicles.

The Department of State stated that this meeting is a follow-up to the 'Information and Communications Technology and Services (ICTS)' supply chain investigation of connected vehicles being conducted by the Department of Commerce. Earlier, President Joe Biden ordered an investigation in February, citing risks of vehicle hacking or data leaks if connected vehicles use technology from China or other countries of concern. Although the Department of State did not explicitly mention China, this meeting is interpreted as a measure effectively targeting China.

Regulations by the U.S. government on Chinese-made connected vehicles also appear imminent. Earlier, U.S. Secretary of Commerce Gina Raimondo warned Congress in May about national security risks posed by Chinese-made connected vehicles and foreshadowed regulations. Foreign media report that the U.S. government may announce related measures as early as this month.

Connected vehicles refer to 'smart cars' that exchange information with their surroundings via wireless networks and provide functions such as navigation, autonomous driving, and driver assistance systems. The South Korean government and the automotive industry previously conveyed to the U.S. government their position to limit connected vehicle regulations to components and services that pose significant national security risks and to request a grace period.