Hesai lidar sensors in US autonomous systems amid Pentagon blacklist and security concerns
Hesai Technology, a Shanghai-based lidar manufacturer blacklisted by the U.S. Department of Defense in 2024 as a Chinese military entity, has expanded its presence in U.S. autonomous systems including through a partnership with Nvidia. Security researchers have demonstrated that compromised lidar hardware could produce fictitious objects or cause real obstacles to vanish, raising concerns about potential cybersecurity vulnerabilities in critical infrastructure.
What happened
The U.S. Department of Defense blacklisted Hesai Technology in 2024, designating the Shanghai-based lidar manufacturer as a Chinese military entity. Despite the blacklist, Hesai has expanded its presence in U.S. autonomous systems, including through a partnership with Nvidia that allows automakers to integrate Hesai sensors into Nvidia's DRIVE Hyperion autonomous vehicle architecture.
Hesai sensors are deployed in U.S. autonomous vehicles and infrastructure, including Amazon's Zoox robotaxi fleet, autonomous trucking companies Waabi and Kodiak, and screening areas at New York's John F. Kennedy International Airport. The company has reduced lidar unit prices from over $10,000 to under $200, commanding about a third of worldwide automotive lidar sales.
Reported impact
Security researchers and U.S. officials have warned of potential cybersecurity risks from Chinese lidar systems. Duke University professor Miroslav Pajic demonstrated that compromised lidar hardware could produce entirely fictitious objects in its field of view or cause real physical obstacles to vanish from sensor output.
Security experts raised concerns that lidar data could be exploited by foreign adversaries or that Beijing could compel Hesai to hand over collected data under Chinese law. The commercial exemption for Chinese-origin sensors leaves critical infrastructure exposed to potential threats.
Index analysis
The incident reflects a gap between national security designations and commercial regulation: while the Pentagon blacklist blocks Hesai from federal procurement contracts, no legal restriction prevents U.S. companies from purchasing or deploying its sensors in civilian applications.
A federal lawsuit Hesai filed challenging the blacklist designation was decided against the company in 2025, with the appeal remaining ongoing.
Governance controls
Hesai co-founder and CEO David Li rejected claims that the technology poses security risks, arguing that the hardware lacks onboard storage to retain information and that data fed into partner systems remains under those partners' control.
Nvidia stated that its DRIVE Hyperion platform is an open architecture allowing automakers to select hardware suited to their markets in compliance with applicable regulations.
Classification
Sources and evidence
This record was researched and written by the Index, based on the following original reporting.