S.2040 - Connected Vehicle National Security Review Act (119th Congress)
Summary
S.2040, the "Connected Vehicle National Security Review Act," aims to establish an Office of Information and Communications Technology and Services (OICTS) within the Bureau of Industry and Security of the Department of Commerce. This office would be responsible for identifying and mitigating undue risks posed by transactions involving connected vehicles and related technologies. The bill focuses on transactions involving ICTS designed, developed, manufactured, or supplied by entities owned or controlled by jurisdictions of concern, such as China and Russia.
Expected Effects
The Act will create a new regulatory framework for connected vehicle technology, giving the Department of Commerce significant authority to review and potentially prohibit transactions that pose national security risks. This could lead to increased scrutiny of foreign-made components in vehicles sold in the United States. It may also lead to increased costs for manufacturers and consumers.
Potential Benefits
- Enhanced National Security: By scrutinizing transactions involving connected vehicle technology, the Act aims to protect against potential sabotage or subversion of critical infrastructure.
- Protection of Sensitive Data: The Act seeks to prevent foreign adversaries from accessing sensitive data collected by connected vehicles.
- Increased Cybersecurity Standards: The Act allows the Secretary of Commerce to require adherence to certain cybersecurity standards for connected vehicle technology.
- Economic Benefits: By ensuring the security of connected vehicle technology, the Act could help to maintain consumer confidence and promote the growth of the U.S. automotive industry.
- Supply Chain Security: The Act aims to secure the supply chain for connected vehicle technology by identifying and mitigating risks associated with foreign entities of concern.
Most Benefited Areas:
Potential Disadvantages
- Increased Costs: The Act could lead to increased costs for manufacturers and consumers due to the need to comply with new regulations and potentially replace foreign-made components.
- Reduced Innovation: The Act could stifle innovation in the connected vehicle industry by creating a more burdensome regulatory environment.
- Trade Disputes: The Act could lead to trade disputes with countries whose companies are targeted by the regulations.
- Potential for Abuse: The broad authority granted to the Secretary of Commerce could be subject to abuse.
- Bureaucratic Inefficiency: The creation of a new office within the Department of Commerce could lead to bureaucratic inefficiency and delays.
Constitutional Alignment
The bill's focus on national security aligns with the Constitution's charge to "provide for the common defence." (Preamble). The Commerce Clause (Article I, Section 8) grants Congress the power to regulate commerce with foreign nations and among the several states, providing a basis for regulating transactions involving connected vehicles. However, the broad authority granted to the Secretary of Commerce could raise concerns about due process (5th Amendment) if not implemented with sufficient transparency and procedural safeguards.
Impact Assessment: Things You Care About ⓘ
This action has been evaluated across 19 key areas that matter to you. Scores range from 1 (highly disadvantageous) to 5 (highly beneficial).