Tesla Inc (NASDAQ:TSLA) shares have soared in recent days thanks to progress being made with the company’s autonomous vehicle vision. A U.S. senator could throw cold water on the rally with a bill aimed to disrupt self-driving vehicles.
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Senator Targets Tesla With New Bill
Sen. Ed Markey (D-Mass.) introduced a new bill aimed at self-driving vehicles, with potential wording targeting Tesla FSD directly.
The new bill, which is called the “Stay in Your Lane Act,” would require automotive companies working on Level 2 and higher self-driving systems to face restrictions for certain road types and conditions such as weather and geographic locations, as reported by The Verge.
Tesla allows FSD to be used on roads across the country without restriction, something that the bill could put an end to. The bill designates operational design domains as conditions needed to be met for autonomous features to be used.
“Self-driving cars aren’t a danger of the distant future — they are a pressing safety threat today,” Markey told The Verge. “Too often, certain car companies are rolling out autonomous driving features without responsible limitations on when and whether they can’t be used, leading to avoidable injuries and deaths.”
The senator said the bill would help make sure automotive companies only allow autonomous features to be used where the technology can handle, which would help improve public safety.
General Motors Co (NYSE:GM) and Ford Motor Co (NYSE:F) are named in the bill as companies that use Level 2 systems and limit where drivers can operate autonomous features safely.
The naming of Ford and GM as positive examples and Markey’s “certain car companies” quote would indicate that the bill could be aimed at Tesla.
Markey’s bill would have the National Highway Traffic Safety Administration (NHTSA) fine companies that didn’t follow the operational design domains it lays out.
In October, Markey was one of several senators who called for an investigation into Tesla FSD over safety concerns with vehicles failing to detect railroad crossings.
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What’s Next
Congress, being majority-controlled by the Republicans, could make Markey’s bill harder to pass, but members on both sides of the political aisle have spoken out against autonomous vehicles in recent years.
Sen. Josh Hawley (R-Mo.) announced plans in September to introduce a bill that would change autonomous vehicle rules.
Hawley said autonomous vehicles were “terrible for working people” and said that “only humans should drive cars and trucks.”
The senator was reportedly working on a bill titled the “Autonomous Vehicle Safety Act.” The bill was mostly set to target autonomous vehicles that would take away jobs from cab drivers and truckers and not necessarily the autonomous vehicle features for vehicle owners to use on their own.
President Donald Trump spoke out against autonomous vehicles ahead of winning the 2024 election.
“Do you like autonomous? Does anybody like an autonomous vehicle? Know what that is? Right? When you see a car driving along? Some people do, I don’t know. A little concerning to me, but the autonomous vehicles we’re going to stop from operating on American roads,” Trump said in October 2024.
Trump’s friendship and political support from Tesla CEO Elon Musk may have softened the president’s opposition to autonomous vehicles.
The president also appointed Tesla critic Jonathan Morrison to lead the NHTSA, which could provide tougher regulations for autonomous vehicles and features.
News of the bill comes after a ruling in California said Tesla’s FSD and Autopilot had deceptive marketing. Tesla faces a potential 30-day sales and production ban in the state.
Musk has highlighted Tesla being able to hit a future valuation of $20 trillion or more if plans for Tesla FSD, robotaxis and the Optimus humanoid robot go according to plan.
The Democratic-led bill faces hurdles in Congress, but bipartisan concerns over autonomous vehicles could help it gain broader support.
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Photo: Tesla FSD Image Via Shutterstock
