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