As China makes new rules, automakers plan to store car data locally

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(Reuters) – BMW, Daimler and Ford He told Reuters that when information about his vehicle came to the world’s largest car market, he was under increasing pressure on how to handle vehicle information.

The cars are fitted with a mounting Array of sensors and cameras To assist drivers.

But the data they build can also be used by manufacturers to help develop new technologies Autonomous drive systems, Raising privacy and security concerns, especially when information is sent abroad.

US electric car maker Tesla is under public scrutiny over its storage in China and handling of the country’s customer data.

Last week, Reuters reported that employees of two Chinese government offices had been told not to park Temla cars in government compounds because of security concerns about car cameras.

Tesla said on Tuesday it had set up a site in China to generate data from all vehicles sold in the country.

Other carmakers told Reuters they had done the same.

Ford Motor said it set up a data center in China in the first half of last year and was storing all vehicle data locally.

BMW said it operates a local data center “in China for Chinese riding beds,” when they opened.

Daimler said it runs “dedicated vehicle backends in China, where vehicle data is stored.”

General Motors and Toyota Motor Corp declined to discuss how to manage their data in China, while Renault of France said it did not yet have a car data center in China.

Nissan Motor and Stellantis said they would comply with the rules in China, but gave no further details.

Volkswagen said adhering to data protection rules is important for successful digital transformation, but “as the regulatory environment is still growing rapidly, it’s too early for us to say anything about it.”

No car manufacturer said whether they share data from China to their overseas office.

Honda Motor Co and Hyundai Motor Co did not respond to requests for comment.

China introduced Cyber ​​security law In 2017, all companies were required to store keys Locally generated data onshore In China, however, those “smart” cars made the issue a major concern for carmakers.

This month, China’s cyberspace regulator posted a draft rule stating that vehicle manufacturers must obtain customer approval to collect drive data. This rule, in the public consultation phase, requires vehicle manufacturers to store data locally and obtain regulatory permission when they wish to send such data to a foreign entity.

Given the cybersecurity law of 2017, the new proposals should come as no surprise to any automaker, said Tu Le, an analyst at China-based research firm Sino Auto Insight.

“The lack of a ‘data’ strategy tells me that the decision is still focused on the home office and that they are still struggling to develop as ‘digital’ first companies,” he said.

European Union General data protection regulation Sets strict rules about how companies handle and store data.

It is not clear how China’s needs affect global vehicle manufacturers’ research and development of new models or technologies. It is not uncommon for the company to currently share data from China at their headquarters, officials from various manufacturers said.

“Data will ultimately be different for companies as they use it to build products and services that help them differentiate themselves from their competitors,” he said.

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