With BAIC and Geely, Two Chinese Automakers, Holding Nearly 20% Stake, Mercedes-Benz Might Be 'Edged Out' of the US Market
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Author:小编   

Reports indicate that the U.S. Congress is making progress on the Connected Vehicle Security Act of 2026. This bill, jointly proposed by Republican Senator Bernie Moreno and Democratic Senator Elissa Slotkin, is designed to bar connected vehicles that are either controlled by or have technical ties to 'hostile nations' from entering the U.S. market, starting January 1, 2027. The scope of review even encompasses corporate ownership structures. Vehicles will be considered potential security threats if over 15% of an automaker's equity is held by investors from certain countries. At present, BAIC Group and Geely Holding together hold close to 20% of Mercedes-Benz's shares, surpassing the 15% limit set by the bill. This situation potentially places Mercedes-Benz at risk of facing sales bans in the U.S. market. If the bill is passed, Mercedes-Benz would be required to demonstrate to the U.S. Department of Commerce that its in-vehicle technologies are entirely independent of the influence of 'hostile nation' shareholders. Failing to do so would result in sales bans and civil penalties amounting to at least $1.5 million per vehicle. Currently, the bill is still in its draft stage.