chicago subway

Lawmakers Warn Cities to Stop Contracting Chinese Companies To Build Transit Systems

Despite concerns about Chinese manufacturers having access to U.S. transportation data, cities continue to move ahead with plans to partner with state-owned companies.

Both Republican and Democratic lawmakers are concerned about the continued partnerships between American cities and Chinese companies to build transit systems, including rail cars and buses.

Those anxieties were aired at a Thursday Senate Banking Committee hearing on the threats posed by state-owned and operated transportation services. Two Chinese companies in particular, the railcar manufacturer China Railway Rolling Stock Corporation (CRRC) and bus and electric battery manufacturer Build Your Dreams (BYD), were the focus of much criticism about the potential security threats to transportation system data.

“The potential for an adversarial state actor to monitor the movements of American citizens, hack personal or government-issued devices, and collect intelligence on our military is a major security concern,” Sen. John Cornyn (R-Texas) said at the hearing, according to The Hill.

Last December, Cornyn was at the center of an effort to ban states or cities from using federal funds to buy passenger rail cars or buses from state-owned or controlled manufacturers. While the bill was signed into law as part of the 2020 National Defense Authorization Act, the law will not go into effect for two years, The Hill reported.

“Unfortunately, special interests were able to demand a two-year enforcement delay of some of this legislation’s critical components,” Cornyn said. “I am here today to ask for your help in ensuring this delay does not turn into a window the Chinese Communist Party and its state-controlled companies can further exploit.”

Cybersecurity and national security officials have expressed similar concerns about Huawei, TikTok and other Chinese companies, which are required by a Chinese law to participate in the country’s intelligence work and disclose sensitive data if asked.

However, many cities -- including Los Angeles, Chicago, Boston and Philadelphia -- are moving ahead with plans to buy from CRRC, the world’s largest manufacturer of metro rail cars. New York’s transit authority said in 2018 that the company had won its bid to build new railcars, offering $50 million of its own money.

A similarly low bid allowed CRRC to win the contest to build railcars for Chicago’s transit system. Sen. Sherrod Brown (D-Ohio) said Chinese subsidies give CRRC and BYD an unfair advantage.

“CRRC and BYD are two in a long line of examples of how China cheats its way ... into being a global leader into industry after industry,” Brown said. “Congress still needs to fully assess the risk associated with data of our transportation system being exposed to foreign actors.”

The two-year delay is not in effect for the Washington Metropolitan Area Transit Authority (WMATA), which is banned from accepting bids from CRRC to build its railcars.

 

For its part, CRRC has said that once the railcars are built and delivered to the transit agencies, the company does not have control over the transportation data. “CRRC is very dedicated and very supportive of the fact that there will be security measures, safety measures and transit agencies will want to be satisfied before they accept a car,” chief legal counsel Marina Popovic told The Hill last year.

Cities must be aware of the potential threats posed by Chinese technology and that the low-balling bids are not worth the security challenges, lawmakers said on Thursday.

“Allowing American trains and buses to become Trojan horses for these technologies on American soil is unacceptable,” Cornyn said.

About the Author

Haley Samsel is an Associate Content Editor for the Infrastructure Solutions Group at 1105 Media.

Featured

  • AI to Help Resolve Non-Emergency Calls Across Utah and Decrease 911 Caller Wait Times

    The Utah Communications Authority (UCA), which oversees the state’s next generation 911 technology services, recently announced that public safety answering points (PSAPs) throughout the state plan to implement Motorola Solutions’ Virtual Response technology to automate the receipt and resolution of 10-digit non-emergency line calls in Utah with the help of AI. Read Now

  • Report: 2025 Video Surveillance Market Set to Grow After Small Decline in 2024

    Novaira Insights has unveiled its latest report, “World Market for Video Surveillance Hardware and Software – 2025 Edition.” The research indicates that the global market for video surveillance hardware and software experienced a slight decline of 0.3% in 2024. This performance fell short of previous forecasts, primarily due to a significant decrease of 7.8% in the Chinese market. Conversely, the rest of the world saw a growth of 4.9%. The global market for video surveillance equipment was estimated to be worth $25.0 billion in 2024. Read Now

  • Report Reveals Local Governments Face Surge in Ransomware Attacks with Minimal Resources

    KnowBe4, the cybersecurity platform that comprehensively addresses human risk management, recently released new research highlighting the critical cybersecurity challenges facing state, local, tribal, and territorial (SLTT) governments. The report details how government organizations have become prime targets for cybercriminals while simultaneously facing severe resource constraints. Read Now

  • Video Surveillance Trends to Watch

    With more organizations adding newer capabilities to their surveillance systems, it’s always important to remember the “basics” of system configuration and deployment, as well as the topline benefits of continually emerging technologies like AI and the cloud. Read Now

  • New Report Reveals Top Trends Transforming Access Controller Technology

    Mercury Security, a provider in access control hardware and open platform solutions, has published its Trends in Access Controllers Report, based on a survey of over 450 security professionals across North America and Europe. The findings highlight the controller’s vital role in a physical access control system (PACS), where the device not only enforces access policies but also connects with readers to verify user credentials—ranging from ID badges to biometrics and mobile identities. With 72% of respondents identifying the controller as a critical or important factor in PACS design, the report underscores how the choice of controller platform has become a strategic decision for today’s security leaders. Read Now

New Products

  • Luma x20

    Luma x20

    Snap One has announced its popular Luma x20 family of surveillance products now offers even greater security and privacy for home and business owners across the globe by giving them full control over integrators’ system access to view live and recorded video. According to Snap One Product Manager Derek Webb, the new “customer handoff” feature provides enhanced user control after initial installation, allowing the owners to have total privacy while also making it easy to reinstate integrator access when maintenance or assistance is required. This new feature is now available to all Luma x20 users globally. “The Luma x20 family of surveillance solutions provides excellent image and audio capture, and with the new customer handoff feature, it now offers absolute privacy for camera feeds and recordings,” Webb said. “With notifications and integrator access controlled through the powerful OvrC remote system management platform, it’s easy for integrators to give their clients full control of their footage and then to get temporary access from the client for any troubleshooting needs.”

  • Connect ONE’s powerful cloud-hosted management platform provides the means to tailor lockdowns and emergency mass notifications throughout a facility – while simultaneously alerting occupants to hazards or next steps, like evacuation.

    Connect ONE®

    Connect ONE’s powerful cloud-hosted management platform provides the means to tailor lockdowns and emergency mass notifications throughout a facility – while simultaneously alerting occupants to hazards or next steps, like evacuation.

  • Unified VMS

    AxxonSoft introduces version 2.0 of the Axxon One VMS. The new release features integrations with various physical security systems, making Axxon One a unified VMS. Other enhancements include new AI video analytics and intelligent search functions, hardened cybersecurity, usability and performance improvements, and expanded cloud capabilities