The U.S. auto industry and lawmakers are pressing President Donald Trump to keep Chinese automakers out of the country as he prepares to host Chinese President Xi Jinping this week. Trump has said he could be open to letting Chinese brands build cars domestically, a shift industry groups warn could flood the market the way it has in Europe.
Industry closes ranks ahead of the summit
Trump is scheduled to host Xi and a Chinese delegation on Thursday and Friday, and a consortium of auto trade groups representing automakers, dealers and suppliers has urged him to bar Chinese automakers from the U.S. market. The push came after Trump said earlier this month he might be "OK" with letting Chinese automakers into the country if they produced vehicles domestically.
More than two dozen Democratic lawmakers followed with their own letter urging Trump to keep existing U.S. restrictions in place. Sen. Elissa Slotkin, D-Mich., told reporters the issue cuts across party lines, framing it as a question of whether the U.S. wants to preserve a domestic manufacturing base.
Who could attend the state dinner
The Chinese delegation could include Wang Chuanfu, founder of BYD, and Robin Zeng, founder of battery maker CATL, according to the report. GM CEO Mary Barra is also expected to attend Trump's state dinner for Xi, along with Tesla CEO Elon Musk. Ford declined to say whether CEO Jim Farley will attend after the Department of Transportation criticized the company's Chinese ties. Stellantis said CEO Antonio Filosa is out of the country and won't be there.
Europe as a warning sign
Industry figures point to Europe as evidence of what unrestricted access could mean. Chinese automakers' global market share jumped nearly 70% from 2020 to 2025, according to GlobalData. Their share of the European market rose from virtually nothing in 2020 to 12% in August, per Dataforce.
Michael Dunne, a China auto industry expert and former GM executive, said Chinese automakers would "quickly overwhelm America's auto industry, just as it is now ravaging Europe." Nissan Motor chairman of the Americas Christian Meunier described competing with Chinese brands outside the U.S. as challenging, saying the company is competing against Chinese government subsidies rather than just other automakers.
Bipartisan bills to ban Chinese automakers from the U.S. are still moving through Congress as the debate plays out alongside Trump's meeting with Xi.
Source: CNBC
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