Trump says he would be OK with China building cars in US - Reuters

Former US President Donald Trump has expressed openness to allowing Chinese automotive companies to manufacture electric vehicles within the United States, provided the factories employ American workers. During a television interview, Trump emphasized his commitment to maintaining the current restrictions on importing fully assembled vehicles from China, while offering a potential pathway for Chinese firms to establish domestic manufacturing plants.

Trump rejected the idea of allowing direct imports of Chinese vehicles, stating that the US automobile market would otherwise be overrun. He compared the potential arrangement to past agreements with Japanese automakers, noting that he would be comfortable with Chinese companies opening local plants as long as they hire and utilize American workers.

While open to US-based manufacturing, Trump explicitly opposed Chinese automakers setting up production facilities in Mexico to bypass trade barriers. He stated that he would not allow companies to build vehicles inexpensively in Mexico and ship them across the border into the United States, declaring that such a scenario would not happen under his administration.

The comments come as inexpensive, technology-focused Chinese electric vehicles from manufacturers such as BYD and Geely Automobile Holdings rapidly expand their global market share. These vehicles have increasingly entered markets in Canada and Mexico, fueling concerns among US automotive executives about potential future entry into the American market.

Currently, Chinese vehicles are effectively blocked from entering the United States. This exclusion is maintained through steep tariffs and a Commerce Department ban implemented on national security grounds, which specifically targets connected vehicle systems.