Congress Pressures Mexico’s New President Over Chinese Cars

Politicians in the U.S. are concerned that Chinese vehicles could be leveraged to conduct advanced cyberattacks

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A group of 21 U.S. Congress members has called on Mexico’s newly-elected president, Claudia Sheinbaum, who was sworn in on Tuesday as the country’s first female president, to take action against the risks posed by connected vehicles produced by companies linked to the Chinese Communist Party.

The U.S. recently proposed a ban on vehicles containing Chinese software and hardware from being sold on American soil, citing national security concerns. In a letter addressed to Sheinbaum, a coalition of U.S. lawmakers, led by Representative Elissa Slotkin and Senator Sherrod Brown, warned that Chinese car manufacturers are setting up production facilities in Mexico to sidestep tariffs. They urged Mexico to recognize the security risks posed by these vehicles and to take immediate action.

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“Today’s vehicles – including those made by Chinese companies – are equipped with sophisticated sensors, powerful computers, and networking capabilities that allow these connected vehicles to gather, store and transmit large amounts of data about their occupants and their surroundings,” the letter reads. “We believe that these Chinese companies, which receive huge state subsidies, are now seeking to use Mexico as a base to enter the U.S. market.”

The letter urges the new Mexican administration to take three decisive steps to mitigate the threat posed by Chinese vehicles. First, it calls for the formalization of the outgoing administration’s policy of denying federal economic incentives to companies tied to the Chinese Communist Party, including joint ventures between Mexican and Chinese firms.

Next, it asks Mexico to establish a national security review process to “address risks posed by the manufacture or sale of vehicles built by Chinese firms to Mexico’s people, your national security, and the regional security of North American and Organization of American States nations.”

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The letter also requests that Mexico send a delegation to meet with U.S. officials by early 2025 to collaborate on addressing the risks associated with Chinese-made vehicles.

Additionally, the lawmakers warn that vehicles using Chinese technologies can collect private data on individuals and gather intelligence that could be valuable to a “potential adversary like China,” or even be used to “launch cyberattacks against critical infrastructure systems.”

The letter highlights concerns over Chinese automaker BYD’s plans to open assembly plants in Mexico, which lawmakers warn could be a tactic to “circumvent these tariffs with production in Mexico.” They stress that U.S. officials are well aware of this potential loophole and caution that “additional action by the United States” could follow if China uses Mexico to avoid tariffs.