The US Department of Commerce’s Bureau of Industry and Security (BIS) published a Final Rule on January 16, 2025 that prohibits the import, sale, and manufacture of vehicles equipped with Vehicle Communication Systems (VCS) or Automated Driving Systems (ADS) hardware and software that are designed, developed, manufactured, or supplied by persons owned by, controlled by, or subject to the jurisdiction or direction of nations identified as “foreign adversaries” by the Final Rule, which includes China and Russia. The Final Rule, as crafted, will significantly impact entities up and down connected vehicle supply chains that fall within the definitions of VCS Hardware importers and/or Connected Vehicle Manufacturers. These regulated entities may include legacy automakers, technology companies, and component suppliers of VCS Hardware and Connected Vehicle systems. This report summarizes the Final Rule’s primary prohibitions, key definitions, compliance pathways for regulated entities, the exemptions, advisory opinions, “is-informed” notices, appeals, and finally our views on the road ahead for the connected vehicle industry.