The US Department of Commerce (DOC) has enforced a ban on the use of Chinese vehicle hardware and software on US roads, according to foreign media reports.

The software ban will take effect in the 2027 model year and the hardware ban in 2029. This ban also prohibits Chinese car companies from testing autonomous driving on US roads. The rules apply to Russian cars and components as well.

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The final ban exempts vehicles weighing over 10,000 pounds, meaning BYD COMPANY (01211.HK)  -3.000 (-1.073%)    Short selling $382.50M; Ratio 24.406%   can temporarily continue assembling electric buses in California. However, authorities have indicated that they will propose another law to prohibit the use of Chinese vehicle software and hardware in larger commercial vehicles, including trucks and buses. A final decision will be up to the next government.

In addition, the ban exempts Chinese vehicle software developed before the ban takes effect from being used in the US, provided that the software is not maintained by Chinese companies. This means Ford (F.US)      and General Motors (GM.US)      can continue importing some Chinese-produced vehicles.
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