As Congress moves forward with a bill that would in effect block Chinese-made cars from entering the U.S. market, voices in the U.S. auto industry said they need to prepare for long-term competition with Chinese companies.
On the 14th (local time), Ford Motor Co. Executive Chair Bill Ford said at an Axios event in Washington, D.C., "We have to compete head-on with China," adding, "We should not expect to be able to keep Chinese cars out of the U.S. market forever, and we have to be able to beat them at their own game."
Ford's remarks came as the U.S. Senate is pushing a bipartisan bill that would effectively ban all Chinese automakers from entering the U.S. passenger car market. Ford Motor Co. also supports the bill, which is aimed at protecting the U.S. auto industry, but Ford emphasized that protectionism alone is not enough.
He said U.S. automakers should strengthen their competitiveness with the possibility in mind that Chinese car corporations could eventually enter the U.S. market. Although the U.S. government has recently tightened regulations on Chinese cars, such as banning sales in the United States of Polestar, a brand under Geely Automobile Holdings, starting in 2027, it is seen as a judgment that the restrictions could be eased depending on future changes in administrations or policies.
The South China Morning Post (SCMP) in Hong Kong noted, "The Trump administration has strongly blocked Chinese companies from entering the U.S. market over concerns about espionage, Chinese government subsidies, and unfair competition," adding, "Ford's remarks acknowledge that indefinitely excluding Chinese automakers from the U.S. market is not realistic."
In fact, Chinese automakers are already rapidly expanding their influence in the global market. Chinese automakers such as BYD and Geely have quickly increased their global market share in recent years on the back of government subsidies and technology. According to the China Passenger Car Association (CPCA), in June, exports of electric and hybrid vehicles by Chinese automakers were about 877,000 units, more than double from a year earlier.
Ford is also preparing a new electric pickup truck to counter low-priced electric vehicles from Chinese companies. Priced around $30,000 (about 45 million won), the vehicle is slated for release in 2027.
It is already competing with Chinese companies in overseas markets. In Europe, Ford is jointly producing two small electric vehicles aimed at the European market with French automaker Renault.
The Wall Street Journal (WSJ) assessed, "Most automakers except Tesla are struggling to turn a profit in their electric-vehicle businesses, but Ford's new electric pickup is being developed to take on Chinese companies in terms of cost competitiveness."