Tariffs? Chinese vehicles are already being sold in the U.S.

And it’s nothing new, Chinese-built cars have been available for a decade.

Mar 10, 2025 - 01:24

Tariffs? Chinese vehicles are already being sold in the U.S.

In May 2024, the Biden administration imposed a 100% tariff on Chinese electric vehicles imported to the United States. Yet, surprisingly, Chinese-made vehicles have been sold here for a decade, just not under Chinese brands.

To be fair, the numbers remain small. According to Automotive News, nameplates built in China and sold in the U.S. accounted for just 74,007 units in 2024, less than 0.5% of the 15.85 million vehicles sold last year.

Still, the camel’s nose is under the tent, and ironically, American automakers, who have the most to lose, helped open the door.

Why it’s a concern

Chinese automakers benefit from heavy government subsidies, low wages, and, in some cases, reported forced labor, which give them cost advantages other manufacturers can’t match. China's intellectual property laws are also lax, with little enforcement or respect for foreign patents.

Furthermore, any automaker looking to build cars in China must partner with a local company, essentially sharing their manufacturing expertise. It’s no mystery why China’s automotive sector has improved so rapidly.

Simply put, American and European automakers helped build the Chinese manufacturing juggernaut that now threatens their own survival.

American automakers’ Chinese cars

Despite these concerns, U.S. automakers have been manufacturing vehicles like the ones below in China and selling them stateside for years.

Buick Envision – 47,340 units sold in 2024

Manufactured in Shanghai since 2014, first sold in the U.S. in 2016.

Cadillac CT6 Plug-in Hybrid (2017-2018)

Built in China, while other U.S.-market CT6s were assembled in Detroit.

Lincoln Nautilus – 15,531 units sold in 2024

Produced at Changan Ford Hangzhou Plant in China. Previously built in Ontario, Canada from 2018 to 2023.

Made in Sweden? Not quite.

Volvo and its EV spin-off, Polestar, may have Swedish roots, but they’re both owned by Zhejiang Geely Holding Group, a Chinese company based in Hangzhou.

Volvo S60 Inscription – The first Chinese-made vehicle sold in the U.S. (2015).
Volvo S90 – Built in Daqing, China.
Volvo XC30 – Built in Zhangjiakou, China.
Polestar 2 – Entirely sourced from China.

Despite Geely selling 11,136 vehicles in the U.S. last year, Volvo avoided tariffs thanks to its manufacturing facility in Ridgeville, South Carolina.

Final thoughts

Western automakers are now scrambling to combat the rise of Chinese manufacturers. Yet the very threat they fear is one they helped create, as China’s rapid automotive rise was fueled by American and European partnerships.

Now, as Chinese automakers become global contenders, their newfound manufacturing dominance is coming full circle.

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