President Donald Trump said Friday he would not oppose Chinese automakers constructing manufacturing facilities in the United States, directly contradicting widespread opposition from U.S. lawmakers and domestic car companies.
Trump laid out his condition during a Fox News interview. "If China wanted to come in and open a plant to build their cars here, I'd be OK with that," he said. He compared the approach to Japanese manufacturers: "Japan does it, but they hire our people. The big thing is they hire our people."
Trump drew a distinction between Chinese factories on U.S. soil and Chinese vehicles shipped from Mexico into the American market—the latter he said he opposed. "I'm not knocking Chinese cars," he said, emphasizing his focus on domestic job creation.
The comments come two weeks before a scheduled meeting with Chinese President Xi Jinping in Washington. U.S. automakers have actively lobbied Trump to deny Chinese manufacturers market access during those talks.
Sen. Elissa Slotkin, a Michigan Democrat, warned Wednesday against what she called "rumors that Trump is planning to allow Chinese cars to be sold in the U.S. as part of a larger deal." She called such an agreement a "strategic mistake."
Trump dismissed her concerns as a "total phony rumor" and said he had successfully blocked Chinese vehicles from entering the U.S. market.
Biden-era policy, initiated in early 2025, effectively bans Chinese automakers from selling or building passenger vehicles in the U.S. Washington also maintains tariffs exceeding 100 percent on Chinese electric vehicles.
Last week, the Alliance for Automotive Innovation—representing General Motors, Ford, Toyota, Volkswagen, Hyundai, Honda and Stellantis—urged Congress to permanently bar Chinese vehicles from the market. CEO John Bozzella called for passage of the proposed legislation by year's end, citing "Chinese automakers dumping subsidized vehicles with connected software and hardware around the world." The industry fears unfair competition if Chinese manufacturers gain a foothold on U.S. soil, even with domestic production.
