Proposed US ban on Chinese connected vehicle technology: Will Trump allow wiggle room to the industry?

Given the implementation complexities involved, particularly in determining origins of the vehicle software stack, OEMs and suppliers could negotiate with the incoming Trump administration to soften the legislation’s impact by adopting a selective, exemptions-based approach.

Since his inauguration as US President last month, Donald Trump has been throwing caution to the rulebooks. Automotive industry stakeholders, both local and global, wait and watch for the many implications to unfold as President Trump brings key national issues to the fore—perceived security threats from mainland Chinese automakers and technology companies; environmental policy, particularly as it relates to vehicle emissions, infrastructure spending and safety regulations; and trade policy, as it relates to both the US-Mexico-Canada Agreement (USMCA) and potential protectionist tariffs. These issues may seem decoupled and independent of each other at first sight but are closely intertwined and are likely to cause lingering ramifications for automotive supply chains.