The House Homeland Security Committee is seeking extensive documentation from Chinese automotive giant BYD as part of an ongoing investigation into possible national security risks associated with foreign-linked transportation manufacturers operating in the United States.
In a letter addressed to Stella Li, who leads BYD’s American operations, and co-CEO Patrick Duan, the committee demanded detailed records about the company’s ownership structure, data handling practices, and presence in the US market. Lawmakers pointed to the company’s expanding role in the American electric bus sector as a source of “serious concerns about potential foreign influence, data exposure, and system vulnerabilities.”
BYD, a major electric vehicle manufacturer and supplier for companies like Apple, spun off its US bus business as RIDE in 2023. Although RIDE is incorporated in the US, it remains a wholly owned subsidiary of BYD and is thus subject to Chinese law, which lawmakers noted requires cooperation with state intelligence services in China.
“The Chinese Communist Party is our greatest adversary, and we must identify and mitigate threats posed by companies under its influence,” said Representative Carlos Gimenez of Florida, chair of the transportation and maritime security subcommittee. “This investigation is a necessary step toward decoupling from entities that compromise our national security,” he added.
BYD, in a statement released on May 20, said it had not yet received the committee’s letter and could not comment on the inquiry.
Founded as a battery manufacturer, BYD has grown into one of the world’s leading automakers, with operations in at least 10 countries. In late 2023, the company briefly overtook Tesla as the top global seller of electric vehicles. Besides its presence in cars and buses, BYD is also a significant supplier to technology giants, producing products such as Apple’s trackpad in Vietnam.
The House panel has requested that BYD submit comprehensive information, including:
- All contracts, grants, and subcontracts awarded in the US since 2018 at federal, state, and local levels
- Details of the company’s ownership structure
- Records of engagement with US or Chinese lobbying firms
- Cybersecurity audits, assessments, and data storage policies
- Full information about electric school buses under contract or operating in the US
BYD opened an electric bus manufacturing facility in Lancaster, California, in 2013 and has invested more than $1.7 million lobbying for clean-air incentives and policies. In 2023, the state of California awarded BYD a $30 million grant to expand the Lancaster facility for electric school bus production.
Despite attempts in Congress to exclude Chinese manufacturers through new legislation, BYD continues to supply electric buses to US cities and school districts. The company faces heightened scrutiny as lawmakers seek to block government procurement from Chinese suppliers, particularly those with links to the Chinese Communist Party.
Two recent bills passed in the House aim to reduce Chinese influence on the US supply chain. One measure bars government agencies from purchasing batteries from six Chinese companies, while another instructs the Department of Homeland Security to investigate and counter Chinese state-affiliated cyber operations and influence campaigns. Both bills are currently under consideration in the Senate.
BYD has until June 9 to provide a response to the committee’s request for documents.
