Chinese EV Makers Eye Mexico Factories to Export to US, Raising Economic Concerns
-
Chinese EV makers like BYD, Chery, and MG are planning factories in Mexico to export EVs to North America, taking advantage of Mexico's free trade agreements.
-
This worries US automakers and officials as it could allow Chinese firms to undercut US carmakers on price and gain a "backdoor" to the US market.
-
Chinese EV makers benefit from large government subsidies and control of the battery supply chain, giving them big cost advantages.
-
Mexico's imports of Chinese vehicles jumped 63% in the first 8 months of 2022 compared to 2021.
-
US lawmakers want to maintain or increase tariffs on Chinese vehicle imports and warn of a "coming wave" of Chinese EVs exported from Mexico.