Canada Considers Ban on Chinese EV Software

Canada is considering a ban on Chinese-made software for electric vehicles (EVs) and may impose 100% tariffs on such imports, following the U.S. lead in addressing national security concerns related to foreign technology. The U.S. has already implemented similar tariffs and proposed a ban on connected and autonomous vehicles using Chinese and Russian software, citing risks of foreign adversaries gaining control over these vehicles. National security experts support these measures, highlighting the susceptibility of modern vehicles to espionage through their connected technologies. The Biden administration aims to protect domestic automakers, as the influx of low-cost Chinese EVs threatens their market share. However, trade groups warn of potential retaliation from China that could impact U.S. businesses, including Tesla. Discussions are ongoing between Canada and the U.S. to align on these security measures.