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U.S. may ban Chinese software in self-driving, connected vehicles

Credit: Nio

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The U.S. may place a ban on Chinese software in self-driving and connected vehicles, with the Biden administration expected to propose such rules in the coming weeks.

According to a report from Reuters citing sources briefed on the matter, the U.S. Commerce Department is looking to propose banning Chinese software in autonomous and connected vehicles this month. The rule would ban any Chinese software in U.S. vehicles with Level 3 or higher autonomous capabilities, effectively banning self-driving tests for companies from China.

Level 3 autonomous driving would allow drivers to take their focus off the road and even perform other activities unless otherwise prompted to take over driving by the vehicle. The sources also say the rule would require automakers and suppliers to confirm to regulators that their connected vehicle and Level 3 software platforms weren’t developed in a “foreign entity of concern,” such as China.

On Sunday, a spokesperson from the Commerce Department said the agency was “concerned about the national security risks associated with connected technologies in connected vehicles.”

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The rule is expected to come from the department’s Bureau of Industry and Security, and the department says that the requirement “will focus on specific systems of concern within the vehicle,” adding that “industry will also have a chance to review that proposed rule and submit comments.”

The Commerce Department initially said last month that it was considering imposing certain limits on some Chinese software, as well as those from other countries considered adversaries.

“Only division of labor and cooperation can bring mutual benefits, and only fair competition can bring technological progress,” said a spokesperson from the Chinese embassy in Washington D.C. in response to the expected proposal “China urges the U.S. to earnestly abide by market principles and international trade rules, and create a level playing field for companies from all countries. China will firmly defend its lawful rights and interests.”

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Last Wednesday, the White House and State Department held a meeting with officials from around the world to “jointly address the national security risks associated with connected vehicles,” according to the department. The meeting also included details about the administration’s plans to propose the rule.

The conference included officials from the U.S., Canada, Australia, the European Union (EU), the United Kingdom (UK), Germany, Spain, India, South Korea, and Japan, who “exchanged views on the data and cybersecurity risks associated with connected vehicles and certain components.”

The topic of national security risks surrounding connected vehicles has been around for quite some time, with a group of legislators last November bringing forward concerns that Chinese companies could collect and misuse sensitive data in autonomous vehicle tests.

“The national security risks are quite significant,” said Gina Raimondo, Commerce Secretary, in a statement in May. “We decided to take action because this is really serious stuff.”

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The news comes after the U.S. increased tariffs on Chinese electric vehicles (EVs) in May, in order to stave off cheap competitors to U.S.-built products. The EU lodged also launched tariffs on Chinese EVs last month, and Canada is considering similar legislation.

It also comes as multiple companies have gained approval to test autonomous driving tech in China, including domestic makers Nio, BYD, Changan Auto, GAC, SAIC, BAIC BluePark, China FAW Group, SAIC Hongyan, and Yutong Bus. Over the weekend, Mercedes-Benz became the first foreign company to gain approval for Level 4 autonomous driving tests in China, and Tesla is expected to gain full approval for its Full Self-Driving (FSD) Supervised later this year.

Tesla China to test 10 FSD vehicles ahead of expected public rollout: report

What are your thoughts? Let me know at zach@teslarati.com, find me on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Zach is a renewable energy reporter who has been covering electric vehicles since 2020. He grew up in Fremont, California, and he currently lives in Colorado. His work has appeared in the Chicago Tribune, KRON4 San Francisco, FOX31 Denver, InsideEVs, CleanTechnica, and many other publications. When he isn't covering Tesla or other EV companies, you can find him writing and performing music, drinking a good cup of coffee, or hanging out with his cats, Banks and Freddie. Reach out at zach@teslarati.com, find him on X at @zacharyvisconti, or send us tips at tips@teslarati.com.

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Elon Musk

California city weighs banning Elon Musk companies like Tesla and SpaceX

A resolution draft titled, “Resolution Ending Engagement With Elon Musk-Controlled Companies and To Encourage CalPERS To Divest Stock In These Companies,” alleges that Musk “has engaged in business practices that are alleged to include violations of labor laws, environmental regulations, workplace safety standards, and regulatory noncompliance.”

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Credit: Tesla

A California City Council is planning to weigh whether it would adopt a resolution that would place a ban on its engagement with Elon Musk companies, like Tesla and SpaceX.

The City of Davis, California, will have its City Council weigh a new proposal that would adopt a resolution “to divest from companies owned and/or controlled by Elon Musk.”

This would include a divestment proposal to encourage CalPERS, the California Public Employees Retirement System, to divest from stock in any Musk company.

A resolution draft titled, “Resolution Ending Engagement With Elon Musk-Controlled Companies and To Encourage CalPERS To Divest Stock In These Companies,” alleges that Musk “has engaged in business practices that are alleged to include violations of labor laws, environmental regulations, workplace safety standards, and regulatory noncompliance.”

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It claims that Musk “has used his influence and corporate platforms to promote political ideologies and activities that threaten democratic norms and institutions, including campaign finance activities that raise ethical and legal concerns.”

If adopted, Davis would bar the city from entering into any new contracts or purchasing agreements with any company owned or controlled by Elon Musk. It also says it will not consider utilizing Tesla Robotaxis.

Hotel owner tears down Tesla chargers in frustration over Musk’s politics

A staff report on the proposal claims there is “no immediate budgetary impact.” However, a move like this would only impact its residents, especially with Tesla, as the Supercharger Network is open to all electric vehicle manufacturers. It is also extremely reliable and widespread.

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Regarding the divestment request to CalPERS, it would not be surprising to see the firm make the move. Although it voted against Musk’s compensation package last year, the firm has no issue continuing to make money off of Tesla’s performance on Wall Street.

The decision to avoid Musk companies will be considered this evening at the City Council meeting.

The report comes from Davis Vanguard.

It is no secret that Musk’s political involvement, especially during the most recent Presidential Election, ruffled some feathers. Other cities considered similar options, like the City of Baltimore, which “decided to go in another direction” after awarding Tesla a $5 million contract for a fleet of EVs for city employees.

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Tesla launches new Model 3 financing deal with awesome savings

Tesla is now offering a 0.99% APR financing option for all new Model 3 orders in the United States, and it applies to all loan terms of up to 72 months.

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Credit: Tesla

Tesla has launched a new Model 3 financing deal in the United States that brings awesome savings. The deal looks to move more of the company’s mass-market sedan as it is the second-most popular vehicle Tesla offers, behind its sibling, the Model Y.

Tesla is now offering a 0.99% APR financing option for all new Model 3 orders in the United States, and it applies to all loan terms of up to 72 months.

It includes three Model 3 configurations, including the Model 3 Performance. The rate applies to:

  • Model 3 Premium Rear-Wheel-Drive
  • Model 3 Premium All-Wheel-Drive
  • Model 3 Performance

The previous APR offer was 2.99%.

Tesla routinely utilizes low-interest offers to help move vehicles, especially as the rates can help get people to payments that are more comfortable with their monthly budgets. Along with other savings, like those on maintenance and gas, this is another way Tesla pushes savings to customers.

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The company had offered a similar program in China on the Model 3 and Model Y vehicles, but it had ended on January 31.

The Model 3 was the second-best-selling electric vehicle in the United States in 2025, trailing only the Model Y. According to automotive data provided by Cox, Tesla sold 192,440 units last year of the all-electric sedan. The Model Y sold 357,528 units.

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Tesla hasn’t adopted Apple CarPlay yet for this shocking reason

Many Apple and iPhone users have wanted the addition, especially to utilize third-party Navigation apps like Waze, which is a popular alternative. Getting apps outside of Tesla’s Navigation to work with its Full Self-Driving suite seems to be a potential issue the company will have to work through as well.

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Credit: Michał Gapiński/YouTube

Perhaps one of the most requested features for Tesla vehicles by owners is the addition of Apple CarPlay. It sounds like the company wants to bring the popular UI to its cars, but there are a few bottlenecks preventing it from doing so.

The biggest reason why CarPlay has not made its way to Teslas yet might shock you.

According to Bloomberg‘s Mark Gurman, Tesla is still working on bringing CarPlay to its vehicles. There are two primary reasons why Tesla has not done it quite yet: App compatibility issues and, most importantly, there are incredibly low adoption rates of iOS 26.

Tesla’s Apple CarPlay ambitions are not dead, they’re still in the works

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iOS 26 is Apple’s most recent software version, which was released back in September 2025. It introduced a major redesign to the overall operating system, especially its aesthetic, with the rollout of “Liquid Glass.”

However, despite the many changes and updates, Apple users have not been too keen on the iOS 26 update, and the low adoption rates have been a major sticking point for Tesla as it looks to develop a potential alternative for its in-house UI.

It was first rumored that Tesla was planning to bring CarPlay out in its cars late last year. Many Apple and iPhone users have wanted the addition, especially to utilize third-party Navigation apps like Waze, which is a popular alternative. Getting apps outside of Tesla’s Navigation to work with its Full Self-Driving suite seems to be a potential issue the company will have to work through as well.

According to the report, Tesla asked Apple to make some changes to improve compatibility between its software and Apple Maps:

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“Tesla asked Apple to make engineering changes to Maps to improve compatibility. The iPhone maker agreed and implemented the adjustments in a bug fix update to iOS 26 and the latest version of CarPlay.”

Gurman also said that there were some issues with turn-by-turn guidance from Tesla’s maps app, and it did not properly sync up with Apple Maps during FSD operation. This is something that needs to be resolved before it is rolled out.

There is no listed launch date, nor has there been any coding revealed that would indicate Apple CarPlay is close to being launched within Tesla vehicles.

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