[Congressional Bills 119th Congress]
[From the U.S. Government Publishing Office]
[H.R. 8730 Introduced in House (IH)]

<DOC>






119th CONGRESS
  2d Session
                                H. R. 8730

To prohibit the importation, manufacture, sale, resale, or introduction 
into interstate commerce in the United States of connected vehicles and 
   related software and hardware associated with foreign adversaries.


_______________________________________________________________________


                    IN THE HOUSE OF REPRESENTATIVES

                              May 11, 2026

 Mr. Moolenaar (for himself and Mrs. Dingell) introduced the following 
 bill; which was referred to the Committee on Energy and Commerce, and 
 in addition to the Committees on Ways and Means, and Foreign Affairs, 
for a period to be subsequently determined by the Speaker, in each case 
for consideration of such provisions as fall within the jurisdiction of 
                        the committee concerned

_______________________________________________________________________

                                 A BILL


 
To prohibit the importation, manufacture, sale, resale, or introduction 
into interstate commerce in the United States of connected vehicles and 
   related software and hardware associated with foreign adversaries.

    Be it enacted by the Senate and House of Representatives of the 
United States of America in Congress assembled,

SECTION 1. SHORT TITLE.

    This Act may be cited as the ``Connected Vehicle Security Act of 
2026''.

SEC. 2. FINDINGS.

    Congress makes the following findings:
            (1) The United States automotive industry is critical to 
        the national economy, supporting millions of jobs, supply 
        chains, and advanced manufacturing. The introduction of 
        vehicles and components controlled by foreign adversaries 
        threatens United States economic security, industrial 
        competitiveness, and technological leadership.
            (2) The People's Republic of China has rapidly expanded its 
        automotive manufacturing capacity and is increasingly targeting 
        export markets. Despite having the largest market in the world, 
        the People's Republic of China exports nearly 8,000,000 
        vehicles annually, approximately twice the volume exported by 
        any other country, demonstrating the scale at which vehicles 
        and components controlled by a foreign adversary may enter 
        global markets, including the United States.
            (3) Connected vehicles incorporate advanced information and 
        communications technologies that collect, process, and transmit 
        vast amounts of sensitive data, including geolocation, 
        operational, and personal information, and are capable of being 
        remotely accessed and controlled.
            (4) In Executive Order 13873 (50 U.S.C. 1701 note; relating 
        to securing the information and communications technology and 
        services supply chain), the President declared a national 
        emergency with respect to the threat posed by foreign 
        adversaries creating and exploiting vulnerabilities in 
        information and communications technology and services.
            (5) The access, control, or influence of vehicle 
        connectivity systems or automated driving systems by foreign 
        adversaries creates substantial economic and national security 
        risks to the United States, including risks of surveillance, 
        espionage, cyber intrusion, and disruption of critical 
        infrastructure. Such risks fall within the scope of the 
        national emergency described in Executive Order 13873 and pose 
        an unacceptable threat to the security and resilience of the 
        United States.

SEC. 3. DEFINITIONS.

    In this Act:
            (1) Automated driving system.--The term ``automated driving 
        system'' means hardware and software that, collectively, are 
        capable of performing the entire dynamic driving task for a 
        connected vehicle on a sustained basis, regardless of whether 
        it is limited to a specific operational design domain.
            (2) Connected vehicle.--
                    (A) In general.--Except as provided by subparagraph 
                (B), the term ``connected vehicle'' means a vehicle 
                driven or drawn by mechanical power and manufactured 
                primarily for use on public streets, roads, and 
                highways, that--
                            (i) integrates onboard networked hardware 
                        with automotive software systems to communicate 
                        via dedicated short-range communication, 
                        cellular telecommunications connectivity, 
                        satellite communication, or other wireless 
                        spectrum connectivity with any other network or 
                        device; or
                            (ii) is designed, manufactured, or 
                        originally equipped to communicate via such 
                        methods, regardless of whether such capability 
                        is enabled, disabled, or removed at the time of 
                        importation, manufacture, sale, resale, or 
                        introduction of the vehicle into interstate 
                        commerce in the United States.
                    (B) Exclusion.--The term ``connected vehicle'' does 
                not include a vehicle operated only on a rail line.
            (3) Connected vehicle hardware.--The term ``connected 
        vehicle hardware'' means--
                    (A) a vehicle connectivity system; and
                    (B) vehicle connectivity system hardware.
            (4) Country of origin.--The term ``country of origin'', 
        with respect to an item, means the country--
                    (A) in which the item is manufactured; or
                    (B) the government of which owns or controls, or 
                has jurisdiction or direction over--
                            (i) the entity manufacturing the item; or
                            (ii) the entity supplying the item.
            (5) Covered country.--The term ``covered country'' means--
                    (A) the Democratic People's Republic of North 
                Korea;
                    (B) the People's Republic of China;
                    (C) the Russian Federation; and
                    (D) the Islamic Republic of Iran.
            (6) Covered software.--The term ``covered software''--
                    (A) means the software-based components installed 
                in or on a connected vehicle, or designed to be 
                installed in or on a connected vehicle, including 
                application, middleware, and system software, executed 
                by the primary processing unit or units of an item that 
                directly enables the function of a vehicle connectivity 
                system or automated driving system at the vehicle 
                level; and
                    (B) includes any machine-learning model or other 
                artificial intelligence component that directly enables 
                decisionmaking or control of an automated driving 
                system at the vehicle level.
            (7) Electric vehicle.--The term ``electric vehicle'' has 
        the meaning given that term in section 3 of the Electric and 
        Hybrid Vehicle Research, Development, and Demonstration Act of 
        1976 (15 U.S.C. 2502).
            (8) Importation.--The term ``importation'' has the meaning 
        given the term ``import'' in section 1001 of the Controlled 
        Substances Import and Export Act (21 U.S.C. 951).
            (9) Resale.--
                    (A) In general.--The term ``resale'', with respect 
                to an item, means the transfer of ownership of the item 
                by an individual or entity that acquired the item for 
                the purpose of transfer in the ordinary course of 
                business, and not for the use of or consumption by the 
                individual or entity.
                    (B) Exclusion.--The term ``resale'' does not 
                include the transfer of a connected vehicle that was 
                previously titled or registered to, and used by, a 
                consumer or end-user or was acquired for bona fide use, 
                lease, or operation by the individual or entity 
                transferred the vehicle.
            (10) Safety equipment.--The term ``safety equipment'', with 
        respect to a vehicle, means air bags, air bag inflators, and 
        seatbelt systems.
            (11) Secretary.--The term ``Secretary'' means the Secretary 
        of Commerce, acting through the Under Secretary of Commerce for 
        Industry and Security.
            (12) Transaction.--The term ``transaction''--
                    (A) means any acquisition, importation, transfer, 
                installation, dealing in, or use of any item subject to 
                a prohibition under section 4(a), including ongoing 
                activities, such as managed services, data 
                transmission, software updates, repairs, or the 
                platforming or data hosting of applications for 
                consumer download; and
                    (B) includes--
                            (i) any other transaction, the structure of 
                        which is designed or intended to evade or 
                        circumvent this Act; and
                            (ii) a class of transactions.
            (13) Vehicle connectivity system.--The term ``vehicle 
        connectivity system'' means a vehicle connectivity system 
        hardware or covered software item installed in or on a 
        connected vehicle, or designed to be installed in or on a 
        connected vehicle, that directly enables the function of 
        transmission, receipt, conversion, or processing of radio 
        frequency communications at a frequency over 450 megahertz.
            (14) Vehicle connectivity system hardware.--The term 
        ``vehicle connectivity system hardware''--
                    (A) means software-enabled or programmable 
                components that--
                            (i) are installed in or on a connected 
                        vehicle or designed to be installed in or on a 
                        connected vehicle;
                            (ii) are directly connected to a vehicle 
                        connectivity system; and
                            (iii) directly enable the function of a 
                        vehicle connectivity system or are part of an 
                        item that directly enables the function of a 
                        vehicle connectivity system; and
                    (B) includes--
                            (i) microcontrollers, microcomputers or 
                        modules, systems on a chip, networking or 
                        telematics units, cellular modem/modules, Wi-Fi 
                        microcontrollers or modules, Bluetooth 
                        microcontrollers or modules, satellite 
                        communication systems, other wireless 
                        communication microcontrollers or modules, 
                        external antennas, digital signal processors, 
                        and field-programmable gate arrays;
                            (ii) electronic systems integrated into a 
                        battery that directly enable or control the 
                        monitoring, management, security, or external 
                        communication of battery performance or 
                        operation, including any transmitter or 
                        interface component that performs such 
                        functions; and
                            (iii) safety equipment.

SEC. 4. PROHIBITION ON CONNECTED VEHICLES AND OTHER TRANSACTIONS THAT 
              THREATEN ECONOMIC OR NATIONAL SECURITY.

    (a) Prohibitions.--
            (1) Connected vehicles.--On and after January 1, 2027, the 
        importation, manufacture, sale, resale, or introduction into 
        interstate commerce in the United States of a connected vehicle 
        is prohibited if--
                    (A) the country of origin of the connected vehicle 
                is a covered country or the connected vehicle is 
                designed within a covered country, without regard to 
                whether--
                            (i) at the time of importation, sale, 
                        resale, or introduction, the vehicle is 
                        equipped with any covered software or connected 
                        vehicle hardware subject to a prohibition under 
                        paragraph (2) or (3); or
                            (ii) any such covered software or connected 
                        vehicle hardware--
                                    (I) is removed from the vehicle 
                                before importation, sale, resale, or 
                                introduction; or
                                    (II) will be installed after 
                                importation, sale, resale, or 
                                introduction; or
                    (B) the manufacturer of the connected vehicle is a 
                joint venture, subsidiary, or other entity in which 
                more than 15 percent of the equity interest, voting 
                interest, board representation, or other indicia of 
                control, whether directly or indirectly, is owned or 
                controlled by an entity, or combination of entities, 
                organized under the laws of, or with its principal 
                place of business in, a covered country.
            (2) Covered software.--On and after January 1, 2027, the 
        integration of covered software into a connected vehicle that 
        is imported, manufactured, sold, resold, or introduced into 
        interstate commerce into the United States is prohibited if--
                    (A) the country of origin of the covered software 
                is a covered country; or
                    (B) the developer of the software--
                            (i) is organized under the laws of, or has 
                        its principal place of business in, a covered 
                        country; or
                            (ii) is a joint venture, subsidiary, or 
                        other entity in which more than 25 percent of 
                        the equity interest, voting interest, board 
                        representation, or other indicia of control, 
                        whether directly or indirectly, is owned or 
                        controlled by an entity, or combination of 
                        entities, described in clause (i).
            (3) Connected vehicle hardware.--
                    (A) In general.--On and after January 1, 2030, the 
                importation, manufacture, sale, resale, or introduction 
                into interstate commerce in the United States of any 
                connected vehicle hardware is prohibited if--
                            (i) the country of origin of the hardware 
                        is a covered country; or
                            (ii) the manufacturer of the hardware--
                                    (I) is organized under the laws of, 
                                or has its principal place of business 
                                in, a covered country; or
                                    (II) is a joint venture, 
                                subsidiary, or other entity in which 
                                more than 25 percent of the equity 
                                interest, voting interest, board 
                                representation, or other indicia of 
                                control, whether directly or 
                                indirectly, is owned or controlled by 
                                an entity, or combination of entities, 
                                described in subclause (I).
                    (B) Repair and warranty.--The prohibition under 
                subparagraph (A) shall not apply to connected vehicle 
                hardware that is imported, manufactured, sold, resold, 
                or introduced into interstate commerce in the United 
                States for the purpose of repair or under warranty for 
                a connected vehicle with a model year before model year 
                2030.
            (4) Additional items.--Subject to an applicable ruling or 
        advisory opinion issued under subsection (d), a prohibition 
        under paragraph (1), (2), or (3) applies with respect to a 
        connected vehicle, covered software, or connected vehicle 
        hardware, as the case may be, that is renamed, rebranded, 
        restructured, or altered to circumvent the prohibition.
            (5) Exception.--The prohibitions under paragraphs (1), (2), 
        and (3) shall not apply to the importation, manufacture, sale, 
        resale, or introduction into interstate commerce in the United 
        States of a connected vehicle, covered software, or connected 
        vehicle hardware, as the case may be, for the sole purpose of 
        testing and evaluation by an entity that--
                    (A) is organized under the laws of a State in the 
                United States;
                    (B) does not have its principal place of business 
                in a covered country; and
                    (C) is not 25 percent or more, whether directly or 
                indirectly, owned or controlled by an entity, or 
                combination of entities, organized under the laws of, 
                or with its principal place of business in, a covered 
                country.
    (b) Related Transactions.--
            (1) In general.--The Secretary shall prescribe regulations, 
        pursuant to section 553 of title 5, United States Code, to 
        prohibit any specific transaction relating to connected 
        vehicles, including the importation, sale, distribution, 
        integration, or use of a connected vehicle, covered software, 
        connected vehicle hardware, or any other item subject to a 
        prohibition under subsection (a), that the Secretary determines 
        poses an undue or unacceptable threat to the economic or 
        national security of the United States.
            (2) Notice.--If the Secretary prohibits a transaction under 
        paragraph (1), the Secretary shall deliver, by certified United 
        States mail, to the parties to the transaction a notice of the 
        prohibition that includes an identification, by name, of the 
        specific item that the Secretary determines poses an undue or 
        unacceptable threat to the economic or national security of the 
        United States.
    (c) Authorizations.--
            (1) Issuance.--
                    (A) In general.--The Secretary, in consultation 
                with the Secretary of Defense, the Secretary of 
                Transportation, the Secretary of State, and the 
                Secretary of Energy, may issue a general or specific 
                authorization for the importation, manufacture, sale, 
                resale, or introduction into interstate commerce in the 
                United States of an item that would otherwise be 
                subject to the prohibitions under subsection (a) if--
                            (i) the Secretary determines, based on 
                        clear and convincing evidence and a written 
                        risk assessment, that the importation, 
                        manufacture, sale, resale, or introduction of 
                        the item does not pose, and is not reasonably 
                        likely to pose--
                                    (I) an undue risk of data 
                                exfiltration from, or remote 
                                manipulation or operation of, a 
                                connected vehicle;
                                    (II) a risk to critical 
                                infrastructure or the integrity of the 
                                industrial base of the United States; 
                                or
                                    (III) any other risk to the 
                                national security of the United States;
                            (ii) not less than 60 days before the 
                        authorization takes effect, the Secretary 
                        submits to Congress a detailed written 
                        notification, including the determination under 
                        clause (i) and underlying analysis, including 
                        the written risk assessment; and
                            (iii) during the 60-day period described in 
                        clause (ii), there is not enacted into law a 
                        joint resolution of disapproval with respect to 
                        the authorization of the item.
                    (B) Continued validity and modification and 
                revocation of authorizations.--
                            (i) Continued validity of existing 
                        authorizations.--Except as provided by clauses 
                        (ii) and (iii), any general or specific 
                        authorization issued under subparagraph (A) or 
                        subpart D of part 791 of title 15, Code of 
                        Federal Regulations, before January 1, 2030, 
                        shall remain in effect until January 1, 2032, 
                        unless modified, suspended, or revoked under 
                        clause (ii).
                            (ii) Modification or revocation of general 
                        or specific authorizations.--The Secretary may, 
                        at any time, modify, suspend, or revoke a 
                        general or specific authorization described in 
                        clause (i) if the Secretary--
                                    (I) determines that the 
                                authorization no longer satisfies the 
                                requirements of subparagraph (A)(i); 
                                and
                                    (II) provides the public with an 
                                opportunity to comment before 
                                modifying, suspending, or revoking the 
                                authorization.
            (2) Publication of list of authorized items.--
                    (A) In general.--The Secretary shall publish, 
                pursuant to section 553 of title 5, United States Code, 
                and maintain a list of the items the importation, 
                manufacture, sale, resale, or introduction into 
                interstate commerce in the United States of which is 
                authorized under paragraph (1). The initial such list 
                shall be published not later than January 1, 2027.
                    (B) Inclusions.--
                            (i) In general.--To the extent possible, 
                        the Secretary shall include, in the list 
                        required by subparagraph (A), the manufacturer 
                        and product name for each item on the list.
                            (ii) Other identifying characteristics.--
                        When it is not possible to include, in the list 
                        required by subparagraph (A), the manufacturer 
                        and product name for an item, the Secretary 
                        shall provide technical criteria sufficient to 
                        enable the automotive industry and importers to 
                        determine without undue difficulty whether the 
                        importation, manufacture, sale, resale, or 
                        introduction into interstate commerce in the 
                        United States of an item is authorized under 
                        paragraph (1). In carrying out this clause, the 
                        Secretary shall protect intellectual property 
                        to the extent practicable.
                            (iii) Risk assessment.--To the extent 
                        possible, the Secretary shall include, in the 
                        list required by subparagraph (A), a detailed 
                        explanation about why each item on the list 
                        does not pose an undue risk described in 
                        subparagraph (A) or (B) of paragraph (1).
            (3) Requests for authorization.--Not later than January 1, 
        2027, the Secretary shall establish a procedure pursuant to 
        which an importer, manufacturer, supplier, or seller or 
        reseller may seek the authorization under paragraph (1) of the 
        importation, manufacture, sale, resale, or introduction into 
        interstate commerce in the United States of an item described 
        in subsection (a) that would otherwise be subject to the 
        prohibitions under that subsection.
    (d) Rulings and Advisory Opinions.--
            (1) In general.--Not later than January 1, 2027, the 
        Secretary shall establish a procedure pursuant to which an 
        importer, manufacturer, or seller or reseller may seek a 
        binding ruling or advisory opinion with respect to whether--
                    (A) the importation, manufacture, sale, resale, or 
                introduction into interstate commerce in the United 
                States of an item is or is not prohibited under this 
                section; or
                    (B) a connected vehicle, covered software, or 
                connected vehicle hardware has been renamed, rebranded, 
                restructured, or altered to circumvent the prohibitions 
                under subsection (a).
            (2) Timing.--The Secretary shall issue a ruling or advisory 
        opinion under paragraph (1) with respect to an item not later 
        than 45 days after receiving an application supported by a 
        reasonably clear description of the item.
            (3) Publication.--
                    (A) In general.--The Secretary shall--
                            (i) publish a list of the items for which 
                        the Secretary has issued rulings and advisory 
                        opinions under paragraph (1); and
                            (ii) update that list not less frequently 
                        than annually.
                    (B) Prohibition on publication of identifying 
                information.--The Secretary shall not publish the name 
                of, or other information that might reasonably 
                identify, the party that requested the ruling or 
                advisory opinion.
            (4) Continued validity of existing rulings and opinions.--
        Except as provided by paragraph (5), a ruling or advisory 
        opinion issued under this subsection or subpart D of part 791 
        of title 15, Code of Federal Regulations, before January 1, 
        2027, shall remain in effect.
            (5) Modification or revocation.--The Secretary may modify, 
        suspend, or revoke any binding ruling or advisory opinion 
        issued under paragraph (1) or subpart D of part 791 of title 
        15, Code of Federal Regulations, with respect to an item at any 
        time if the Secretary determines that the circumstances that 
        led to the ruling or opinion have changed.
    (e) Declaration of Conformity.--The Secretary shall establish a 
process under which a person that imports, manufactures, sells, 
resells, or introduces into interstate commerce in the United States a 
connected vehicle or connected vehicle hardware is required to submit a 
declaration, to be known as a ``declaration of conformity'', to the 
Secretary before importing, manufacturing, selling, reselling, or 
introducing the vehicle or hardware that certifies that the vehicle or 
hardware is not subject to a prohibition under subsection (a).
    (f) Civil Penalties.--
            (1) In general.--The Secretary shall assess a civil penalty 
        for each transaction that is a violation of a prohibition under 
        subsection (a) in an amount that is not less than the greater 
        of--
                    (A) $1,500,000; or
                    (B) five times the value of the transaction.
            (2) Continuing violations.--In the case of a violation that 
        occurs on more than one day, each day on which the violation 
        continues shall be treated as a separate violation.
    (g) Classified Information.--The Secretary may rely on classified 
information in carrying out this section, which may be submitted to a 
reviewing court ex parte and in camera.
    (h) Petitions for Review.--The filing in a court of a petition for 
review shall not stay the effectiveness of any action under this 
section unless ordered by the court.

SEC. 5. USE OF EXISTING ADVISORY BODIES; INTERAGENCY COORDINATION.

    (a) Use of Existing Advisory Bodies.--
            (1) In general.--In carrying out this Act, the Secretary 
        may consult, as appropriate, with existing advisory committees 
        of the Department of Transportation and other relevant Federal 
        agencies, including the Advisory Committee on Automation in 
        Transportation, on matters relating to connected vehicles and 
        associated national security risks.
            (2) Scope of consultation.--Consultation under paragraph 
        (1) may include consideration of--
                    (A) risks relating to data security, cybersecurity, 
                and supply chain integrity associated with connected 
                vehicles;
                    (B) the effectiveness of authorities and 
                regulations issued under this Act;
                    (C) emerging technologies and threat vectors 
                relevant to connected vehicle ecosystems; and
                    (D) recommendations made to the Secretary with 
                respect to regulatory, enforcement, and policy measures 
                to mitigate risks described in subparagraph (A).
    (b) Interagency Coordination.--In carrying out this Act, the 
Secretary may consult and coordinate, as appropriate, with the Federal 
Communications Commission and other relevant Federal agencies to ensure 
alignment with respect to the scope, timeline, and implementation of 
any prohibitions or restrictions issued under this Act, including to 
avoid duplicative, inconsistent, or conflicting regulatory 
requirements.

SEC. 6. REPORTS.

    Not later than one year after the date of the enactment of this 
Act, and annually thereafter, the Secretary shall submit to Congress a 
report--
            (1) describing activities carried out to enforce the 
        prohibitions under section 4, including enforcement actions 
        taken and resources utilized;
            (2) providing a detailed accounting of items covered by 
        such prohibitions during the 1-year period preceding submission 
        of the report;
            (3) explaining any exclusions, exemptions, or 
        determinations made by the Secretary, including the rationale 
        and criteria applied;
            (4) assessing the effectiveness of such prohibitions in 
        decreasing the threats to the economic and national security of 
        the United States posed by connected vehicles;
            (5) including metrics on enforcement, compliance rates, 
        violations identified, penalties assessed, and any identified 
        gaps or challenges; and
            (6) making recommendations with respect to further 
        decreasing such threats.

SEC. 7. SEVERABILITY; REGULATORY CONTINUITY.

    (a) Severability.--If any provision of this Act, or the application 
of such provision to any person or circumstance, is held to be invalid, 
the remainder of this Act, and the application of the remaining 
provisions to any person or circumstance, shall not be affected.
    (b) Restoration of Prior Regulations.--If a court of competent 
jurisdiction enters a final judgment holding invalid or unenforceable a 
provision of this Act and supersedes regulations prescribed to carry 
out section 4, the Secretary may, notwithstanding any other provision 
of this Act, reissue or reinstate, in whole or in part, any similar 
regulations that were in effect on the day before the date of the 
enactment of this Act.

SEC. 8. INTERACTION WITH REGULATIONS.

    (a) Rule of Construction.--Nothing in this Act shall be construed 
to prohibit, limit, or otherwise affect the authority of the Secretary 
of Commerce to implement or administer subpart D of part 791 of title 
15, Code of Federal Regulations, as added by the final rule of the 
Bureau of Industry and Security entitled ``Securing the Information and 
Communications Technology and Services Supply Chain: Connected 
Vehicles'' (90 Fed. Reg. 5360).
    (b) Delayed Implementation for Software and Hardware Not Covered by 
Regulations.--In the case of covered software and connected vehicle 
hardware that is subject to a prohibition under paragraph (2) or (3) of 
section 4(a) and is not subject to subpart D of part 791 of title 15, 
Code of Federal Regulations, as in effect on the day before the date of 
the enactment of this Act, the Secretary shall implement the 
prohibition under section 4(a) after January 1, 2030, and before 
January 1, 2032.
    (c) Treatment of Prior Exclusions.--
            (1) In general.--Subject to paragraph (2), any exclusion or 
        exception to a prohibition under subpart D of part 791 of title 
        15, Code of Federal Regulations, as in effect on the day before 
        the date of the enactment of this Act, shall remain valid and 
        shall apply to the prohibitions under section 4(a).
            (2) Rulemaking.--Beginning January 1, 2030, the Secretary 
        shall conduct a rulemaking, pursuant to section 553 of title 5, 
        United States Code, to determine whether exclusions or 
        exceptions described in paragraph (1) should be continued, 
        modified, or terminated for the purposes of this Act.
                                 <all>