Mexico raises concerns about US plan to bar Chinese vehicle software, hardware

WASHINGTON (Reuters) – The Mexican government on Monday raised concerns about the Biden administration’s proposal to prohibit key Chinese software and hardware in connected vehicles on American roads due to national security concerns.

Mexico’s economy ministry said in a filing with the U.S. Commerce Department the proposal could have a “substantial impact on Mexico’s automotive industry. Economically, it poses potential trade barriers, disruptions to supply chains, increased production costs, and a possible risk of reduced direct and indirect employment.”

Automaker and tech groups separately on Monday asked the administration for changes and for more time before the rule takes effect.