American Automakers Urge Congress to Ban Chinese Vehicle Sales in the U.S.

A trade group representing U.S. automakers is asking Congress to permanently block Chinese connected vehicles, hardware and software from the American market.

In a letter to senior lawmakers, the Alliance for Automotive Innovation called for a ban on the sale, import and manufacture of those products. The group cited what it described as China’s unfair trade practices, intellectual property theft and pattern of surveillance.

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Enact a permanent ban on the sale, import and manufacture of Chinese connected vehicles, hardware and software.

John Bozzella, the group’s president and chief executive, said Chinese industrial and manufacturing policy was putting non-Chinese automakers at an unfair disadvantage and threatening the U.S. automotive manufacturing sector. He also warned that vehicles made by Chinese companies can collect, process and transmit sensitive vehicle and consumer data to the Chinese Communist Party.

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This behavior is a feature of the Chinese approach and especially acute when it comes to China's strategy to dominate global automotive manufacturing and critical supply chains.

“China is capturing market share in Europe, Australia, Southeast Asia, Mexico and South America with vehicles capable of collecting, processing and transmitting sensitive vehicle and consumer data to the Chinese Communist Party,” Bozzella wrote. He said this had not yet happened inside the United States, but urged lawmakers to act before Congress adjourns this year.

The appeal comes as American automakers face growing competition from Chinese companies including BYD, which is exporting more low-cost vehicles worldwide. China has made particular progress in electric vehicles and is both the world’s largest EV market and a growing exporter. A January trade deal with Canada will allow Geely Auto Group to sell tens of thousands of EVs there each year, while Canadian tariffs on those vehicles are due to fall from 100% to 6%.

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China is capturing market share in Europe, Australia, Southeast Asia, Mexico and South America with vehicles capable of collecting, processing and transmitting sensitive vehicle and consumer data to the Chinese Communist Party.