Ford CEO: "Chinese Automakers Must Be Blocked from Entering the U.S."

Jim Farley, CEO of Ford, asserted that Chinese automakers should be completely blocked from entering the U.S. market. He argued that if Chinese cars penetrate the market at low prices, it could deal a fatal blow to U.S. manufacturing.

Jim Farley, CEO of Ford. Photo by Reuters Yonhap News.

Jim Farley, CEO of Ford. Photo by Reuters Yonhap News.

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In an interview with Fox News on the 13th (local time), CEO Farley stated, "Chinese automakers should not be allowed to enter the United States," adding, "If we surrender manufacturing, which is the heart and soul of our country, to a flood of Chinese exports, it would be devastating."


Currently, the United States imposes a 100% tariff on Chinese electric vehicles. As a result, firms like BYD and Xiaomi are virtually blocked from entering the U.S. market. However, Chinese automobiles are rapidly expanding in other global markets. In Mexico, BYD accounts for 70% of local electric and plug-in hybrid vehicle sales. Canada has also recently signed a contract to import 49,000 Chinese-made cars annually.


CEO Farley emphasized that Chinese-made cars should not be allowed to enter the United States through Canada. He added that the issue of blocking the inflow of such vehicles into the U.S. will become a major point of contention in future negotiations surrounding the renegotiation of the United States-Mexico-Canada Agreement (USMCA).


Farley also argued that Chinese automakers, leveraging "massive direct support" from their government, could drastically lower prices and secure an unfair competitive advantage in the U.S. market. He stressed, "This is by no means a fair competition."


He further warned that allowing Chinese vehicles equipped with advanced technology to operate on American roads could pose national security risks. He pointed out, "These vehicles all have 10 cameras each," and "they are capable of collecting vast amounts of data."


Bloomberg reported that CEO Farley's comments represent some of his strongest remarks regarding the threat posed by Chinese automakers.


Meanwhile, U.S. President Donald Trump said at the Detroit Economic Club in January that he would be willing to allow Chinese companies to enter the U.S. market if they build factories in the United States and hire American workers. Subsequently, CEO Farley is reported to have conveyed to administration officials that if Chinese automakers wish to manufacture vehicles in the U.S., they should be required to establish joint ventures in which U.S. automakers hold a controlling stake.

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