The Wall Street Journal is using its editorial page to blast Senate Republicans after a bill that could prevent Mercedes-Benz from selling its vehicles in the U.S. advanced out of committee last week.
“Republicans Go for a UAW Ride” appeared Sunday.
“This is a national-security concern, but self-serving union and corporate interests have hijacked the bill,” the editorial stated.
The Senate’s commerce committee last Wednesday advanced legislation intended to freeze out China from the U.S. auto market, but which could also bar Mercedes-Benz from selling vehicles in America.
At the same time, lawmakers said the German automaker will probably be able to carve out an exemption.
“We would never consider” banning Mercedes-Benz, Committee Chairman Sen. Ted Cruz (R-Texas) said, admitting the bill will need to be changed before becoming law.
The Connected Vehicle Security Act would bar automakers from selling vehicles using connected communications hardware and software if the companies have more than 15 per cent ownership by a foreign adversary.
The act is chiefly aimed at China, which currently exports about 8 million vehicles annually, according to the text of the act. It would also affect North Korea, Russia and Iran.
The bill advanced out of committee by a voice vote. It still needs approval by the full Senate, as well as a similar bill in the House.
Mercedes-Benz’s largest individual shareholder is the state-owned Chinese automaker BAIC, which holds a 9.98% share.