Here's a thought: what if the race for self-driving cars isn't just about who builds the best robotaxi, but about which country's technology gets to set the rules for the future of transportation? That's essentially the argument Transportation Secretary Sean Duffy made at the Autonomous Vehicle Safety Forum this week, and he didn't mince words.
Duffy stressed that American companies need to be the ones leading the charge. "Everyone is trying to have the best [self-driving] technology that will be deployed around the world," he said. But his goal is clear: "I want the technology to be developed in America. I want the rest of the world to use American technology."
Then he got to the heart of the matter, cautioning against the rise of Chinese competitors. He said he doesn't want to see a "foreign competitor/foreign adversary/communist party" beat America in this critical race. For Duffy, this isn't just about cars; it's a trifecta of concerns. "This is a national security issue, this is an economic issue, this is a safety issue," he stated.
The Chinese Are Already Here
This isn't a hypothetical worry. Chinese companies have already entered the U.S. autonomous vehicle market. A prime example is the partnership between Alphabet Inc.'s (GOOGL) Waymo and Geely Automobile Holdings Ltd.'s (GELYF) Zeekr brand to build and deploy the "Ojai" robotaxi in the United States.
This activity hasn't gone unnoticed on Capitol Hill. Rep. John Moolenar (R-MI) has separately urged Treasury Secretary Scott Bessent to exercise "heightened scrutiny" of the "inbound investment push from China" into the U.S. automotive sector. The concern over foreign, particularly Chinese, influence in a foundational industry is bipartisan and growing.
Rules Written for Drivers, Not Robots
Beyond the geopolitical stance, Duffy pointed to a more immediate, practical barrier for U.S. innovation: outdated regulations. He noted that "top innovators" from companies like Waymo, Amazon.com Inc.-backed (AMZN) Zoox, and Tesla (TSLA) were at the forum to discuss just this.
"We're going to have a day-long conversation about how we can have the right rule set to keep our safety mandate, but also allow them to continue to innovate," Duffy said. He highlighted the absurdity of applying old rules to new technology. Current federal motor vehicle safety standards, for instance, dictate that cars need a steering wheel and brake pedals.
"If you have an autonomous vehicle, do you need a steering wheel, or gas pedal, or windshield wipers?" he asked. Updating these rules, he argued, isn't just about innovation for its own sake; it's about economics. Regulatory changes could help companies bring down the cost of these advanced vehicles, making them more viable.
The Regulatory Groundwork Is Being Laid
This call for change isn't new. Duffy suggested easing safety rules for autonomous vehicles last year, stating, "The rules of the road need to be updated to fit the realities of the 21st century."
And the legislative wheels are in motion. A committee led by Rep. Brett Guthrie (R-KY) recently held a hearing on bills that would make it easier to deploy self-driving tech. One proposal would significantly raise the number of vehicles allowed to be exempt from certain safety standards. Currently, a statute (49 U.S.C. § 30113(d)) allows exemptions for 2,500 vehicles. The new legislation could allow up to 90,000 vehicles to be exempt for a 12-month period, a massive increase aimed at accelerating real-world testing and deployment.
Meanwhile, the push for American leadership faces internal challenges. In a reminder that tech development is messy, Tesla's Robotaxi software backend designer, Thomas Dmytryk, recently departed the Elon Musk-led company after an 11-year stint. He's just the latest in a string of major executive departures, underscoring that winning any technology race requires not just political will and new rules, but also retaining top talent.
So, Duffy's message is part industrial policy, part national security brief, and part regulatory critique. He's arguing that for America to win the self-driving future, the government needs to actively choose sides—American sides—and then get out of the way by modernizing the rulebook. Whether the industry can capitalize on that potential opening, amid its own internal upheavals and global competition, is the multi-billion dollar question.
