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Biden Administration Bans Integration of Chinese and Russian Technologies in Vehicles Amid Security Concerns

New U.S. regulations to prevent adoption of Chinese and Russian tech in vehicles stir international reactions, highlighting growing tech and security tensions.
In an assertive move underscoring mounting international tech and security tensions, outgoing U.S. President Joe Biden has announced the prohibition of integrating advanced Chinese and Russian technologies into vehicles in the United States.

Citing national security concerns, this policy also includes restrictions on the export of such technologies to China and Russia, prompting immediate protests from Beijing.

According to a statement issued by the White House on Tuesday local time, the new set of regulations aims to forestall the import of vehicles and automotive components featuring Russian or Chinese hardware and software.

The restrictions are set to be implemented progressively: software will be impacted starting with the 2027 model year, while hardware prohibitions will begin from the 2030 model year.

The rationale behind these measures is to protect the supply chains of the U.S.'s connected vehicles from perceived national security threats originating from China and Russia.

"The Biden-Harris administration is committed to ensuring American automotive supply chains are resilient and secure from foreign malign cyber threats," the statement conveyed.

This development poses significant challenges for American companies, such as Polestar, which, despite manufacturing in South Carolina, operates under the control of China's Geely.

Furthermore, Waymo, owned by Google's parent company Alphabet, is strategizing for its next-generation vehicles to be modified versions of the Zeekr brand, sourced from China.

Waymo plans to replace the original Chinese electronics with its own systems.

Historically, the Biden administration has protected the American car market by imposing a 100% tariff on electric cars imported from China.

This forms part of a broader stance against Beijing, which was likely to be sustained by Biden's successor, Donald Trump, who has consistently advocated for strong measures against China.

Elon Musk, the American billionaire and advisor to Trump, as well as a prospective deputy minister responsible for governance efficiency, criticized these tariffs as market-distorting.

Musk, who leads Tesla, has vested interests with a major factory in Shanghai and a substantial reliance on the Chinese market.

In a swift response on Wednesday, Beijing expressed its "strong opposition" to the U.S. prohibition affecting the manufacturing and sale of connected vehicles incorporating Chinese technology.

The Chinese government dismissed the underlying national security rationale as "completely unfounded."

"China urges the United States to cease overgeneralizing the concept of national security and to end the unjustified confrontation against Chinese companies," declared Kuo Jiakun, spokesperson for China's Ministry of Foreign Affairs, in his routine Wednesday press briefing.

He further argued that such practices disrupt economic and trade cooperation between enterprises and violate the principles of market economy and fair competition.

China has made it clear that it seeks a positive relationship with the United States, reiterating a desire for fair trade relations despite the prevailing tensions over technology and security.
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