Known for weaponizing information for its strategic, economic, and political purposes, China has a highly developed approach to digital data

Are Chinese electric cars, called ‘smart cars,’ capable of espionage and can pose significant security risks? After some European countries, including the UK raised their concerns over China’s smart cars and their being fitted with tracking and other devices that could compromise their national security, the US is planning to impose restrictions on imports of Chinese smart cars and related components in order to address its growing concerns over data security, Bloomberg News said.

The US government is particularly concerned about Chinese electric cars which are equipped with internet facilities and devices meant for data collection. Even as internet connectivity and data capabilities offer convenience and enhanced functionality, they also pose a risk in terms of collection of information about location, driving habits and personal information of those who run Chinese smart cars.

This is what concerns the US authorities and as such, they are mulling imposition of restrictions on electric vehicles and their parts originating from China, no matter where they are finally assembled, Bloomberg News said.

Known for weaponizing information for its strategic, economic, and political purposes, China has a highly developed approach to digital data; it has a deep understanding of its importance in a digitally integrated world. This apart, the legal framework in China empowers the government to force companies to hand over proprietary data.

That means the Chinese smart car makers like BYD, Geely and NIO which are making presence in several markets of the world, are bound to provide the Chinese government personal data of an individual collected through devices fitted into these vehicles whenever it requires it. This is the reason the US is thinking of regulating import of smart cars from China.

Last year, lawmakers in the UK had raised similar concerns on cars imported from China. They had expressed their fear that technology embedded in the vehicles could be used to collect huge amounts of information, including video footage, audio recordings and location data.

A senior British government source was quoted by The Telegraphas saying that “if it is manufactured in a country like China, how certain can you be that it won’t be a vehicle for collecting intel and data?” “If you have electric vehicles manufactured by countries who are already using technology to spy, why would they not do the same here? They are high-risk products. We know that China always thinks in very long terms,” the senior British government official told The Telegraph.

In the UK, China’s spying activities have often been flagged by the country’s intelligence agencies. Early in January 2023, a Chinese tracking device was found hidden in the UK government’s car. Last year in March, a young parliamentary researcher was arrested on suspicion of spying for China.

In the same year in September, the British government said Chinese spies are targeting British officials in sensitive positions in politics, defence, and business as part of their sophisticated spying operation to gain access to secrets. “Chinese recruitment schemes have tried to headhunt British and allied nationals in key positions and with sensitive knowledge and experience,”Reuters quoted the British government as saying.

Earlier, MI5, the UK’s domestic counter-intelligence and security agency, issued a security alert, warning lawmakers that a suspected Chinese spy was involved in political interference activities.” Therefore, given China’s widespread spying activity in the UK, lawmakers in 2023 asked the government to adopt the same measure with electric vehicles from China that it did with Huawei which was banned in the country due to security concerns.

Upset with this, while China’s Foreign Ministry Spokesperson Mao Ning said the UK was generalising the concept of national security and directly interfering with normal investment cooperation of Chinese enterprises, something China firmly opposes. The country’s state-backed dailies and newspapers like Global Times termed UK lawmakers as “Sinophobic MPs,” who are “claiming baselessly that these cars will be used to gather data and spy on British citizens.”

Whatever be the clarifications, links between Chinese businesses and the government or military have always created distrust in people’s mind as Chinese firms have been found to be operating on behalf of the state.

Zhu Jiangming and Fu Liquan who founded Leapmotor, a Chinese auto manufacturer in 2015, had previously founded Dahua Technology which is facing sanction from the US for its surveillance cameras and software in its equipment used for real-time surveillance by Chinese police of Uyghur in China’s Xinjiang province. Chinese police with the help of Dahua Technology, keep a close watch on Uyghur Muslims and detain them whenever they are found to be not in tune with CPC structured social behaviour in the country, Sina Finance, a local Chinese news outlet said.

Another Chinese firm Qi-AN XIN Technology Group that develops next generation information technology infrastructure, big data intelligent security detection and control products was bestowed with best technology award in June 30, 2022 by the China Automotive Engineering Research Institute which provides special vehicles to the PLA, China Brief, a portal of the US-based think tank Jamestown Foundation, said.

Among Chinese smart car manufacturers, there is an intense competition to sell their products in the US, European and Asian markets as much as possible. Keeping this in view, EV manufacturers equip them with improved sensors and driver assistance technology to make vehicles more advanced and better.

This in turn means greater danger to society as EVs through their devices, collect vast amounts of information about their drivers and surroundings. Since the Chinese regulatory mechanism requires automakers to store and process those data within the country, there is a fear that sensitive personal information collected through devices fitted in EVs, could be used by China to target people sitting in high positions in politics, defence, and business.