Overview
- The Senate Commerce Committee advanced the bipartisan Moreno–Slotkin measure by voice vote on Wednesday, July 22, sending it to the full Senate for consideration.
- A key test in the bill would bar automakers with more than 15% combined ownership by Chinese entities from selling connected vehicles in the United States, a threshold that would capture Mercedes‑Benz’s roughly 19.7–20% Chinese‑linked stake.
- Sponsors argue the measure is needed because modern connected cars collect location, camera, voice and telemetry data that could pose national security risks if accessed by foreign states.
- Lawmakers told the committee Mercedes would have a compliance window and could seek waivers through 2030, while Mercedes is lobbying to raise the ownership ceiling (for example to 25%) and insists Chinese stakes are passive investments without operational control.
- The bill largely codifies existing Commerce Department rules that already blocked Polestar from U.S. sales, and automakers and suppliers warn the expanded rules could force supply‑chain shifts and raise vehicle costs for U.S. buyers.