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U.S. auto industry demands ban on Chinese carmakers over security risks

A united front of U.S. automotive leaders warns of a 'clear and present danger' from China's booming car industry. Will trade barriers escalate into a full-blown market war?

The image shows two cars parked next to each other in a parking garage, with a wall in the...
The image shows two cars parked next to each other in a parking garage, with a wall in the background and a light at the top. On the right side of the image, there is a board with text on it, likely indicating that the cars are being tested in China.

U.S. auto industry demands ban on Chinese carmakers over security risks

Five major U.S. automotive industry groups have called on the government to block Chinese carmakers from entering the American market. In a joint letter, they warned that Chinese vehicles threaten national security, cybersecurity, and the country's automotive sector. The request comes as global car sales rose by 5% in the first nine months of 2025, with Chinese brands like Geely and BYD expanding rapidly.

The letter was signed by the Alliance for Automotive Innovation, the National Automobile Dealers Association, Autos Drive America, the American Automotive Policy Council, and the Motor & Equipment Manufacturers Association. These groups also urged officials to enforce stricter cybersecurity rules introduced by the Commerce Department in 2025, which already restrict most Chinese vehicle imports.

The industry bodies further demanded action against Chinese firms attempting to bypass trade barriers by setting up factories in the U.S. This stance contrasts with former President Trump's earlier comments, where he welcomed Chinese manufacturers investing in American production. Chinese automakers, particularly Geely Group and BYD, have seen strong growth in global sales. In China's domestic market for January-February 2026, Geely held 13.8% market share, closely trailing Volkswagen at 13.9%, while BYD reached 7.1%. Toyota and Hyundai-Kia followed with 7.8% and lower figures, respectively. The Chinese Embassy in Washington rejected the accusations, stating that the success of Chinese vehicles stems from technological innovation and higher quality. Back in December, the Alliance for Automotive Innovation had already labelled China's auto industry as a 'clear and present danger' to U.S. carmakers.

The push to block Chinese cars reflects concerns over competition, security, and industrial dominance. With global car sales reaching over 67 million units in early 2025, the U.S. industry is pressing for stricter controls on imports and domestic production. The outcome of these demands could shape future trade policies between the two nations.

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