Bill Ford States That Automakers Must Confront China Directly, Regardless of Their Preferences.

      Ford

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      As some lawmakers have suggested measures to completely exclude Chinese automakers from the U.S. market, supported by automotive industry lobbyists, Ford executive chairman Bill Ford believes it’s time for American manufacturers to take on the challenge.

      “We must face China head-on,” Ford stated at an Axios event in Washington, D.C., according to the Wall Street Journal. “We can’t expect to keep them out indefinitely, and we need to outperform them at their own game.”

      This position is understandable, yet it doesn’t seem to resonate with everyone at Ford. CEO Jim Farley mentioned to Fox News in April that “we should not allow them into our country,” in reference to Chinese EVs, and expressed concern over the subsidies that the Chinese auto sector receives from its government, which he argues make competition unfair.

      Ford is also associated with the Alliance for Automotive Innovation (AAI), a lobbying group that supports the Connected Vehicle Security Act proposed by Senators Bernie Moreno of Ohio and Elissa Slotkin of Michigan, which aims to prohibit China-made cars and their technologies from entering the U.S. market.

      “We need to ensure that everyone is following the same rules, but Chinese automakers are flooding global markets with low-cost vehicles,” said John Bozzella, AAI president and CEO, in a statement shortly after Farley’s interview with Fox. “Sens. Moreno and Slotkin aim to prevent that from happening here, and they are correct. The legislation they introduced sends a clear signal: The U.S. will not open the doors to Chinese automakers to manufacture or sell here.”

      The EVs in question have already gained entry into Mexico and, more recently, Canada, under a new rule allowing for a limited quota of imports. Additionally, there are already vehicles with Chinese ties being sold in the U.S. For example, Volvo has recently received authorization from the Commerce Department to continue operations in the States despite being owned by the Chinese conglomerate Geely; however, its sister brand Polestar was not as fortunate. Specific models from established brands, such as the Lincoln Nautilus, continue to be sold in the U.S. while being produced in China.

      Amid the turmoil and seemingly inconsistent rule interpretations, Bill Ford seems to advocate for a strategy that goes beyond exclusion, one that could withstand potential regime changes. “Our lead times exceed those of political timelines. I believe we need a bipartisan industrial policy—which, even saying that today might seem challenging—we truly need it,” Ford asserted.

      Credit to Ford, the company is trying to counter the threat of Chinese competition with a product, introducing a $30,000 electric pickup. Responding to the current market with a truck is characteristic of Ford, but it is not alone; startup Slate is also working on a smaller, more affordable vehicle. If Chinese automakers find a way to penetrate the market despite the legislative efforts underway in Congress, it will be intriguing to see how they stack up. However, based on Bill Ford’s comments, it seems less a question of “if” and more a matter of “when.”

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