A US congressional panel has raised concerns about the rapid growth of Chinese-made electric vehicles and auto components, warning that these products may pose risks to national security and the American auto industry. The issue was discussed at a recent hearing called “Trojan Horse: China’s Auto Threat to America,” held by the House Select Committee on the Chinese Communist Party.
Lawmakers and experts noted the high level of technology present in a modern car, including cameras, microphones and sensors, and acted as a warning that this technology can be utilized to gather sensitive information on the US roads, users and the infrastructure.
Vehicles as Potential Surveillance Tools
Committee Chairman John Moolenaar told lawmakers that modern vehicles built in China could become tools for gathering data or even disabling transport networks during a crisis. He described them as “digital eyes and ears on wheels” and said some models might carry hidden control features.
Raja Krishnamoorthi, a member of the committee, said China’s auto sector has grown by relying on forced joint ventures, technology transfers, and state-backed production. He said that Chinese electric vehicles are now being sold at prices “below what it would even cost to make a car,” raising doubts about fair competition.
Lawmakers said these practices could allow China to control parts of the US transport system in the future. The concern is not only about the vehicles themselves but also the systems inside them, including communication modules and software that receive updates over time.
State Support and Market Disruption
Elaine Dezenski, a former US homeland security official, told the committee that the scale of production and pricing in China’s vehicle exports does not follow typical market rules. She described how Chinese companies use state support, overproduction, and supply chain control to enter global markets.
She also raised the issue of forced labor and unfair pricing, warning that smaller US auto suppliers are under pressure. These companies, which form the base of the domestic auto industry, may not be able to survive long-term if low-cost Chinese vehicles flood the market.
Peter Ludwig, a software executive, remarked that the Chinese cars are equivalent to the Western brands but at a much lower price. He likened their emergence to the expansion of products such as TikTok, which once embedded in the country, would be difficult to eliminate, requiring time, money, and political goodwill.
Threat to Connected Systems
Charles Parton, a former UK diplomat, focused on the risk posed by cellular modules used in smart vehicles. He said China already supplies most of the world’s vehicle connectivity systems. These components allow cars to receive updates and send data—features that, in his view, create a weak point in national infrastructure.
Parton warned that software updates could be used to quietly install malware or shut down vehicles during emergencies. He asked lawmakers,
“Why would China fight with America? Why not just turn you off?”
Lawmakers also discussed the possibility that Chinese companies could avoid US trade limits by exporting through Mexico. They said this would create a backdoor into the American market, weakening efforts to control foreign access.
Calls for Tighter Rules
Several committee members asked if Chinese automakers should be banned from entering the US market. Ludwig replied “yes” and said current rules should be made stronger to deal with the threat.
The hearing compared the risks of Chinese vehicles to earlier warnings about telecom equipment from Huawei. US agencies later spent billions to remove that equipment from critical networks.
With countries such as India in the effort to build their own electric cars, many are observing what the US will do in response to China entering the car industry in a large scale. The hearing itself made it obvious that it is not about trade only, but rather about issues of control, access, and future of transportation.
