The bipartisan Connected Vehicle Security Act was approved by the US Senate Commerce Committee, which doubles down on the US government’s economic sanctions against Chinese automakers. The bill, introduced by Republican Senator Bernie Moreno of Ohio and Democratic Senator Elissa Slotkin of Michigan in April 2026, brings into question other automakers that are partly owned by Chinese entities. Within the act (s.4429), a stipulation states that companies with more than 15% ownership stemming from North Korea, Iran, Russia, and China will have to reduce that entity's stake or exit the US altogether. Volvo and Polestar were first brought into question as both are controlled by Chinese conglomerate Geely, but brands like Mercedes-Benz and Lotus are all put at risk by their Chinese investors. What Does the Connected Vehicle Security Act Do? Riding the coattails of the existing Connected Vehicle Security Rules implemented in January 2025, the act contains provisions to penalize some companies that do not sever financial or operational relationships with China. More specifically, car companies that are owned by Chinese investors, have more than 15% of shares held by Chinese investors, or contain certain equipment supplied by Chinese companies will need to adjust their supply chain accordingly or face being barred from selling vehicles in America starting in 2032. Vehicle components like battery management systems, infotainment systems, safety features, autonomous driving features, and camera systems have all been named as security threats as they fall into the envelope of what a “connected vehicle” reports data of back to the manufacturer. Previous legislation pushed out under the Biden Administration against Chinese vehicles outlined other sanctions, but did not specifically cut out battery management systems, stating that international communication of battery management systems was not considered a threat to national security. Other companies were not prohibited from sourcing these components