JimiHendrix
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Pirelli faces a potential lockout from the US market in 2026 due to national security concerns regarding its ownership and advanced "smart" technology.
Key reasons for the potential lockout include:
These reports explain the national security implications and regulatory hurdles Pirelli faces regarding its ownership by a Chinese state-owned company and its "smart" tire technology
Key reasons for the potential lockout include:
- Chinese State Ownership: The Chinese state-run chemical giant Sinochem owns a roughly 34-37% stake in Pirelli. US regulators are increasingly wary of Chinese-backed technology in critical automotive supply chains.
- Connected-Vehicle Regulations: New US Department of Commerce rules, set to take effect as early as March 2026, target hardware and software for connected vehicles linked to China or Russia.
- "CyberTyre" Technology: At the center of the dispute is Pirelli’s CyberTyre, which uses embedded sensors to transmit real-time data on pressure, temperature, and wear to a car's computer. The US government warned Pirelli that vehicles equipped with this technology might require special authorization to be sold in the US.
- Strategic Pressure on Italy: The US has pressured the Italian government to limit Sinochem’s influence. Italy has used "golden power" laws to restrict Sinochem's control, but US officials have indicated these measures may not be sufficient for compliance with the new rules.
These reports explain the national security implications and regulatory hurdles Pirelli faces regarding its ownership by a Chinese state-owned company and its "smart" tire technology
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