Automotive supply chains are entering another major transition. A recent Reuters report published by Yahoo Finance describes how U.S. automakers and suppliers are moving to replace certain connected-vehicle hardware and software linked to China as federal restrictions approach.
The rule does not prohibit every electronic component, memory device or storage product used in a vehicle. It focuses on specific Vehicle Connectivity System (VCS) hardware and software and Automated Driving System (ADS) software with a sufficient connection to China or Russia. However, replacing a covered communications module, controller or computing platform can change the surrounding design. The replacement system may require a different storage interface, package, capacity, performance level or temperature rating—creating a need to evaluate and potentially qualify new embedded memory and storage products.
The key point
Connected-vehicle restrictions do not directly require manufacturers to replace every memory or storage device. However, the system redesigns and supplier changes they trigger can require new or requalified storage. AMP provides UFS, eMMC, BGA SSD, SD and microSD, and M.2 SSD options to support these redesign and qualification efforts.
What the Yahoo Finance report says
The Yahoo Finance article, originally reported by Reuters, focuses on the auto industry’s effort to replace certain Chinese connected-car technologies. According to the report, automakers must make supplier decisions well before the final deadlines because vehicle programs often take years to design, validate and launch.
The report identifies satellite communication systems, external antennas and microcontrollers that enable external vehicle communication among the hardware most affected. It also describes growing demand for supply-chain visibility, alternative suppliers and non-Chinese connectivity modules. These changes can add cost and create engineering and logistical challenges for automakers and their suppliers.
External antennas and individual microcontrollers do not necessarily require standalone managed storage. However, replacing the larger telematics, satellite communications or connectivity module around them can change the host processor, firmware, storage interface, capacity and qualification requirements. This is where AMP eMMC, UFS and BGA SSD products may need to be evaluated as part of the redesigned platform.
What the connected-vehicle rule covers
The U.S. Department of Commerce’s Bureau of Industry and Security (BIS) issued the final connected-vehicle rule on January 14, 2025. The rule became effective on March 17, 2025 and applies to passenger vehicles under 10,001 pounds.
- Model Year 2027: Restrictions begin for covered VCS and ADS software and for certain connected vehicles sold by manufacturers with a sufficient nexus to China or Russia.
- Model Year 2030: Restrictions begin for covered VCS hardware. For covered hardware not associated with a model year, the relevant date is January 1, 2029.
- Compliance: The rule establishes declarations, authorizations and advisory-opinion processes for regulated importers and manufacturers.
BIS defines VCS as the systems that allow a vehicle to communicate externally. Examples include telematics control units and Bluetooth, cellular, satellite and Wi-Fi modules. The rule also addresses software used in highly automated driving systems.
Companies should use the official BIS connected-vehicle guidance to determine whether a particular transaction, product or system falls within the rule. This article provides general industry information and is not legal or regulatory advice.
How could this affect automotive manufacturers and suppliers?
1. Deeper supply-chain reviews
Automakers may request more information about component origin, ownership, design responsibility, firmware and upstream suppliers. Tier 1 and Tier 2 suppliers may need to document more than the company that sold them the finished part. They may also need visibility into the technologies and organizations behind a module.
2. Supplier changes and redesign work
A replacement connectivity module may not be a drop-in equivalent. A new controller can introduce different interfaces, firmware behavior, power requirements, thermal characteristics or physical constraints. Engineering teams may need to update the board design, software stack and attached storage configuration. A platform that previously used one eMMC capacity, for example, may require a higher-performance UFS, BGA SSD or another qualified storage option after redesign.
3. Requalification and testing
When a platform changes, surrounding components may need another compatibility or qualification review. Teams may need to confirm boot behavior, data retention, sustained performance, endurance, power-loss response, temperature range and long-term reliability. This review may lead to the selection and qualification of a new AMP storage product that better matches the redesigned system.
4. Higher costs and longer lead times
The Reuters report notes that moving away from established Chinese sources can increase component costs. The full expense may also include engineering time, validation, tooling, documentation and production changes. Companies that start their review early may have more time to compare alternatives and reduce last-minute sourcing pressure.
5. Greater focus on lifecycle and second sourcing
Automotive programs often remain in production for years. A technically compatible part may still create risk if its lifecycle does not align with the vehicle program. Teams may place more emphasis on product availability, change notifications, approved alternatives and backup sourcing strategies.
Why vehicle-system changes can require new storage
The federal rule primarily targets specified connectivity hardware and software—not automotive memory and storage as an entire category. The need for new storage appears when a covered system is replaced, redesigned or moved to a different supplier platform.
A replacement telematics or computing platform may use a different host interface, storage capacity or physical package. The new design may also change boot requirements, logging workloads, firmware compatibility, operating temperature or available board space. In that situation, the engineering team may need to replace or requalify the storage attached to the system.
AMP storage products for redesigned VCS and ADS platforms
The three most relevant AMP product categories for these redesigns are UFS, eMMC and BGA SSD. Additional SSD and removable-storage options may support higher-capacity computing, diagnostics and logging requirements.
- UFS is the leading option for newer telematics, ADAS, domain-controller and vehicle-computing platforms that require compact, high-bandwidth managed NAND storage.
- eMMC supports established telematics and embedded systems that need compact, cost-effective managed NAND storage.
- BGA SSDs provide PCIe/NVMe performance for space-constrained gateways, domain controllers and embedded vehicle computers.
- SD and microSD cards support removable logging, diagnostics, navigation data and service applications.
- M.2 SATA, M.2 PCIe NVMe and other SSD form factors support central computing, higher-capacity logging and throughput-intensive applications.
The appropriate AMP product depends on the redesigned platform. Engineers should compare the interface, capacity, NAND type, performance, endurance, operating temperature, package, lifecycle and required qualifications before selecting a replacement or new-design part number.
How AMP can support the review
AMP can support manufacturers and suppliers as they redesign affected vehicle systems and evaluate alternative memory and storage configurations. Our team can review a current part number, host platform or application requirements and help identify AMP products for engineering evaluation and qualification.
AMP can help determine whether UFS, eMMC or BGA SSD is the best match for a redesigned vehicle platform, then compare available options by interface, package, capacity, performance and operating temperature. Providing the current part number and system requirements gives our team a stronger starting point for identifying suitable alternatives.
Frequently asked questions
Does the connected-vehicle rule ban every Chinese component in a car?
No. The rule targets defined VCS hardware, covered VCS and ADS software, and certain connected vehicles with a sufficient nexus to China or Russia. Companies should consult BIS guidance for the scope and exclusions that apply to a specific system.
Are SSDs, UFS, eMMC or SD cards automatically prohibited?
No. These storage products are not automatically prohibited as a category. However, they may need to be replaced or requalified when a covered communications or computing platform changes its interface, package, performance or sourcing requirements.
Why should companies act before the 2030 hardware deadline?
Automotive design, sourcing and qualification cycles can take years. Early planning gives teams more time to document suppliers, evaluate alternatives, complete testing and address lifecycle requirements.
Can AMP determine a replacement from a part number?
A part number can identify useful baseline specifications. However, AMP may also need application details such as interface, capacity, temperature, workload, endurance, lifecycle and qualification requirements before recommending options for engineering review.
Sources and further reading
- Yahoo Finance/Reuters: U.S. auto industry races to purge Chinese connected-car hardware amid federal push
- U.S. Bureau of Industry and Security: Connected Vehicles
- BIS: Commerce finalizes rule to secure connected-vehicle supply chains
This article is for general informational purposes only and does not provide legal, regulatory or compliance advice. Product availability, specifications and qualifications vary by part number and configuration. Confirm requirements using official regulatory guidance and approved product documentation.
