Ford CEO says Chinese carmakers could take on US by 2036, or earlier
Jim Farley has called Chinese cars “humbling” and “superior” to those from Western brands in the past, but the Ford CEO says it’s inevitable they’ll reach the US.
A recent ban on vehicles built by Chinese companies in the US has signalled the nation’s intention to protect its automotive industry, even if it may not last forever.
In recent weeks, Polestar – owned by Geely – was effectively kicked out of the US due to the new ruling, despite building some of its vehicles in the US, while General Motors-owned Buick can continue selling its made-in-China Envision SUV is allowed to remain on sale.
As reported by Reuters, sources told the publication that last week, Ford CEO Jim Farley spoke to the company’s employees in a ‘town hall’ meeting, saying the US-based brand is preparing for Chinese brands to arrive in its home country in five to 10 years.
That would require a backpedalling of the current laws to allow it to happen, something which isn’t out of the question, given the next US Presidential Election is due to take place at the end of 2028.
Jordan Mulach
Across both sides of the border, Chinese brands are being welcomed in Mexico and Canada, meanwhile even US President Donald Trump has said if Chinese brands “want to come in and build a plant and hire you and hire your friends and your neighbours, that’s great, I love that”.
Farley has long been outspoken in his admiration of China’s automotive industry, while at the same time warning of the challenges it could pose to the US and global brands.
Speaking to US program Fox and Friends in April about the possibility of Chinese cars being imported to the US, Farley once again sounded the alarm bell.
“The Chinese have huge direct support for their auto companies - there are over 100 of them, and the places they have imported [to] - their local market [China] is 29 million, [but] their capacity in the country for making cars is over 50 million,” Farley said.
Jordan Mulach
“They have enough capacity in China to cover all the manufacturing, all the vehicle sales in the United States.
“We should not let them into our country. Manufacturing is the heart and soul of our country and for us to lose that to those exports would be devastating for our country.
“That doesn’t even include the cyber and privacy risks of a Chinese vehicle. All the vehicles have 10 cameras, they can collect a lot of data. There’s no way this is a fair fight.
“Ford has to do our part to make our vehicles competitive with the Chinese - and I think we have with our new affordable EVs coming out, made in Kentucky - but this is not a fair fight, and it should have a big impact on the US.”
Jordan Mulach
Last month, Ford’s executive chair Bill Ford – great-grandson of company founder Henry Ford – said the US industry has “to go toe-to-toe with China”.
“We can’t expect to keep them out forever, and we have to be able to beat them at their own game.”
“Our lead times are longer than political lead times,” Ford added.
“I think an industrial policy that is a bipartisan one – which, as I say today, even saying that might sound difficult – we really need that.”
