WASHINGTON, March 13 (Reuters) - Major auto trade groups
urged the U.S. government to keep Chinese carmakers out of the
country, according to a letter seen by Reuters, potentially
complicating President Donald Trump'splanned summit with Chinese
President Xi Jinping.
The groups raised "serious concerns about China's ongoing
efforts to dominate global automotive manufacturing and to gain
access to the U.S. market. These actions pose a direct threat to
America's global competitiveness, national security, and
automotive industrial base."
The five groups representing automakers, car dealers and
parts manufacturers called for maintaining a 2025 Commerce
Department cybersecurity regulation that effectively keeps
nearly all Chinese vehicles out of the U.S. market.
The Chinese embassy in Washington rejected the criticism,
saying Chinese-made cars are popular globally "not by using
so-called 'unfair practices' but by emerging from the fierce
market competition with technological innovation and superb
quality. China's door has been open to global auto companies,
including US auto companies who have fully shared in the
dividends of China's big market."
The auto industry letter also criticized Canada's
announcement it would allow some Chinese vehicles into its
market.
Trump is expected to visit China from March 31, as the
world's two biggest economies seek to maintain the stability
that has characterized their relations since late last year,
after a bruising period marked by Trump's tariffs and China's
chokehold on rare earths exports.
"We also strongly urge the Administration to reject any
attempt by Chinese manufacturers to circumvent these existing
restrictions by establishing production facilities in the U.S.,"
said the letter, dated Thursday, from the Alliance for
Automotive Innovation, the National Automobile Dealers
Association, Autos Drive America, the American Automotive Policy
Council and MEMA, the Vehicle Suppliers Association.
"The market distortions and risks to the auto industry in
the U.S. are fundamentally the same whether these vehicles are
imported or produced domestically," it said.
In January, Trump said he was open to Chinese automakers
building vehicles in the United States. "If they want to come in
and build a plant and hire you and hire your friends and your
neighbors, that's great, I love that," he told the Detroit
Economic Club.
In December, the Alliance for Automotive Innovation, which
represents General Motors ( GM ), Ford, Toyota Motor ( TM ), Volkswagen,
Hyundai, Stellantis ( STLA ) and other major automakers, said "China
poses a clear and present threat to the auto industry in the
U.S." and urged Washington to prevent Chinese government-backed
automakers and battery manufacturers from opening U.S.
manufacturing plants.