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China’s largest car exporter, Chery (9973), is considering entering the US market at a suitable time, an executive overseeing its international business said on Wednesday, without giving a timeframe.
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US President Donald Trump has signalled he could be open to Chinese automakers if they build vehicles in the United States but US auto industry groups and lawmakers have urged Trump not to open the door to Chinese cars.
“When we find a good and suitable time in the future, we definitely hope to enter it,” Zhang Guibing, president of Chery International, told reporters at the company’s headquarters.
“Everyone knows the American car market is huge … we definitely have the idea of selling cars in the United States. Everyone definitely has that idea.”
Zhang said any move would depend on Chery’s own readiness as well as auto industry policies in both countries.
The United States has long been a prized but difficult target for Chinese automakers seeking growth beyond their fiercely competitive home market but it imposes 100 percent tariffs on Chinese-made electric vehicles.
Further barriers are US curbs on Chinese connected-car technology and growing scrutiny from lawmakers.
Chery has not yet added the United States to its export destinations. Like other Chinese automakers, it has focused instead on Europe, Latin America, the Middle East and Southeast Asia, where demand for lower-cost Chinese vehicles has grown.
Chinese automakers, which tout a win-win strategy to expand globally, are increasingly partnering with traditional automakers to make use of underutilised factories across Europe.
Some Chinese car companies run R&D and design labs in the United States, where some Chinese-linked companies have set up or expanded a manufacturing presence through non-Chinese brands.
Geely-owned (0175) Volvo Cars operates a plant in South Carolina.
The Chinese automaker was eyeing an expansion to the United States, and could make an announcement within the next 24 to 36 months, its global communication chief, Ash Sutcliff, told reporters at January’s Consumer Electronics Show in Las Vegas.
China’s largest EV maker, BYD (1211), has a US presence through its electric bus operations but has said it does not plan to sell passenger cars there.
Xiaomi (1810), another high-profile Chinese EV entrant, has said it has no plan to enter the US market.
BYD, Chery, Geely and Great Wall Motor (2333) have also explored or expanded operations in Mexico and Latin America - regions seen as potential springboards or alternatives for North American market access.
Reuters
