The US Senate Commerce Committee is set to vote on a bill that targets Chinese vehicles or companies with significant Chinese ownership, according to multiple sources. The bill has been described both as a crackdown on Chinese vehicles and as a measure to bar such companies from the US market.
The proposed legislation would bar companies with significant Chinese ownership from the US market, according to a report on the bill.
Under this bill, Mercedes faces a risk of a US sales ban, as reported by a source familiar with the matter.
Updates
The US Senate Commerce Committee has officially approved the proposed legislation aimed at restricting Chinese-linked vehicles. While the bill seeks to ban the sale and operation of Chinese connected cars on US roads, reports suggest Mercedes is currently seeking to influence the final language to soften the potential impact of these restrictions.
The US Senate Commerce Committee has formally approved the bill aimed at restricting Chinese-linked vehicles, which would prohibit the sale and operation of Chinese connected cars in the US. Senator Cruz warned that the legislation could negatively impact Mercedes-Benz, noting that the automaker's largest shareholder is the Chinese state-owned firm BAIC. Meanwhile, unverified reports suggest that Mercedes is actively seeking to soften the bill's restrictions, while Cruz has accused General Motors of supporting the proposed measure.
The US Senate Commerce Committee has formally advanced the Connected Vehicle Security Act of 2026, which aims to prohibit the import, manufacture, and sale of connected vehicles featuring technology from foreign adversaries, specifically including China and Russia. While the bill has sparked bipartisan consensus on keeping such vehicles off American roads, it has also exposed divisions regarding its potential impact on European manufacturers like Mercedes-Benz, whose largest individual shareholder is the Chinese state-owned BAIC, and potential cost increases for domestic electric-vehicle producers. Amid these debates, Senator Cruz has identified Mercedes-Benz as a firm that could be adversely affected by the legislation and accused General Motors of supporting the bill.