U.S. auto industry groups urge Congress to legislate a permanent ban on Chinese cars before the end of the year

(Central News Agency, Washington, 3rd Comprehensive Foreign News Report) Industry groups representing major U.S. automakers today urged Congress to pass a bill before the end of this year to permanently ban Chinese cars from entering the U.S. market.

Reuters reported that the Alliance for Automotive Innovation (Alliance for Automotive Innovation), which represents major automakers such as General Motors, Ford, Toyota, Volkswagen, Hyundai, Honda, and Stellantis, called on Congress to take action as soon as possible.

John Bozzella, CEO of the Alliance for Automotive Innovation, said in a letter to members of Congress, "Chinese automakers are currently dumping government-subsidized cars equipped with network-connected software and hardware around the world. This has not yet happened in the United States, but given the scale and urgency of this threat, we urge Congress to pass a bill banning Chinese cars, software and hardware before this year's recess, and formalize this policy."

The Senate Commerce Committee passed a bill in July to further strengthen the ban on Chinese automakers entering the U.S. market, but the bill still faces resistance to final passage.

Ted Cruz, chairman of the Senate Commerce Committee, said that a provision in this bill prohibits companies in which Chinese entities hold more than 15% of the shares from selling cars in the United States. Mercedes-Benz may be excluded from the U.S. market because Chinese investors hold nearly 20% of passive investments in Mercedes-Benz.

Porcella said that passing this bill "will send a clear bipartisan message to China: In response to China's strategy of dominating the global auto manufacturing industry, the U.S. government will counterattack on the grounds of national security."

The Chinese Embassy in the United States expressed its opposition to the above actions, saying that Beijing has lifted restrictions on foreign investment in manufacturing and that "the Chinese market remains open to international automakers, allowing these companies to share business opportunities in China's huge market." The embassy also pointed out that Tesla, Buick, Toyota and Ford are all household names in China.