What Happened?

General Motors is lobbying Congress on a bill that would keep cars, software and parts tied to China, Russia, Iran and North Korea out of the U.S. market, a Legis1 review of federal lobbying disclosures found. GM’s third-quarter lobbying report assigns seven in-house lobbyists to auto issues that include the Connected Vehicle Security Act and its Senate version, S. 4429. The same entry lists the STOP China Act, which would bar federal transportation money from buying buses, rail cars or charging equipment from companies tied to China. ​

GM reported $3.56 million in in-house lobbying expenses for July through September, covering all of its federal issues, from tariffs to the U.S.-Mexico-Canada trade agreement. That is up $100,000 from the previous quarter but 28% below the $4.96 million GM reported a year earlier.

Why Does It Matter To Me?

Newer cars collect and send location and personal data, and some can be controlled remotely, the bill’s House sponsors say. A Commerce Department rule finalized in January 2025 already bans connected car software and hardware linked to China and Russia. The bill would write that ban into law, add Iran and North Korea and cover certain artificial intelligence parts.

It could also reach brands Americans already buy. The bill bars automakers more than 15% owned by Chinese interests, and two Chinese investors each hold nearly 10% of Mercedes-Benz Group, Transport Topics reported.

In Missouri, Sen. Eric Schmitt (R-MO), a cosponsor, credited policies including the bill in a July 24 statement on GM’s $157 million upgrade at its Wentzville plant. GM’s announcement described paint shop and modernization work at the plant, which employs more than 4,000 people, and did not mention the bill.

Both Sides, Now

Supporters say China is trying to flood the market. “China cheats in every industry, and in autos it is overproducing vehicles and components, and selling them for cheap in hopes they will put our companies out of business,” Rep. John Moolenaar (R-MI) said when he and Rep. Debbie Dingell (D-MI) introduced the House bill May 11. The House version has 144 cosponsors from both parties.

Critics say the ownership limit goes too far. Senate Commerce Chair Ted Cruz (R-TX) warned that if the 15% rule stays, “this bill will not become law,” according to Transport Topics. Mercedes has pushed to raise the limit to 25%, Bloomberg reported, and Mercedes-Benz USA is among dozens of companies and groups that reported lobbying on the bill this quarter.

What Happens Next?

The Senate Commerce Committee approved the Senate version unanimously Wednesday, July 22, sending it to the full Senate. The House bill is still in the Energy and Commerce Committee and two others.

GM’s trade lobbying faces its own timeline. The U.S. declined July 1 to extend the U.S.-Mexico-Canada agreement, setting off yearly reviews, and the Office of the U.S. Trade Representative is taking public comments on the next one until Tuesday, Jan. 12, 2027.

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