Intelligent vehicles can pose security risks, according to a Chinese executive.
An official at China’s information technology ministry said that China needed to adapt regulatory measures in order to guard against internet and data security risks associated with the development of intelligent vehicles.
Xin Guobin, a vice minister with the Ministry of Industry and Information Technology, said on Saturday at a forum in the city of Tianjin that network security issues may post major security risks if regulatory measures can’t keep up in time.
According to Xin, industry regulators will require entities to conduct self-inspections on automobile data security, software upgrades, and network security. Xin added that it will study entrance standards for access to the intelligent-car network.
Xin, who forecasted China’s sales of alternate-energy vehicles may increase to over 1.7 million in the first eight months of this year and account for over 10 percent of total new vehicle sales, said that it was important to curb blind investments in the electric vehicle (EV) sector.
China had been limiting redundant construction in the industry, Xin said without providing further details.
According to Xin, the Chinese government will take measures in order to ensure that there’s an adequate supply of key raw materials such as cobalt, lithium, and nickel.
Bloomberg reported that China was the world’s biggest market for alternative-energy vehicles, prompting concerns of excessive capacity building and over-investment. More than 300 out of the 846 registered auto manufacturers in the country produced new-energy cars.
Based on the report, the expansion in the country of companies such as NIO Inc. Tesla Inc., and BYD Co. had been accompanied by an increasing number of electric vehicle businesses that run into financial difficulties.