US Senate Bill Could Ban Mercedes-Benz Cars Over Chinese Stake

The U.S. Senate Commerce Committee has approved the Connected Vehicle Security Act of 2026, a bipartisan bill that would tighten an existing ban on Chinese automakers. The legislation would prohibit the import, sale and operation of vehicles in the United States if more than 15% of the company is owned by Chinese entities, citing concerns that connected‑vehicle data could be accessed by the Chinese government.

Mercedes‑Benz, whose ownership structure includes roughly a 20% stake held by Chinese investors, would fall under the new threshold. The bill gives the company until 2030 to comply, but it could still receive waivers. If no exemption is granted, Mercedes‑Benz could be barred from selling vehicles in the U.S. market, impacting its American operations and the broader automotive sector.

The measure, supported by Senators Ted Cruz and Bernie Moreno, aims to protect U.S. industrial security and data integrity. It now moves to the full Senate for consideration.