USA: Senator calls for 'permanent ban' on Chinese EVs

The Biden Administration is concerned about data security with the potential of American information becoming accessible to China.

According to media reports, an Ohio senator has called for a total ban on Chinese electric vehicles in the USA. The request comes amidst the rising threat of Chinese EV brands taking over the US market with cheap & affordable electric vehicles.

The threat has escalated since Chinese automakers started setting up manufacturing bases in Mexico. This allows them to sidestep regulatory barriers and get access to the US market. As per reports, the Biden Administration is concerned about data security with the potential of American information becoming accessible to China.

Sherrod Brown, Ohio Senator, stated, "I implore you to take bold, aggressive action and to permanently ban EVs produced by Chinese companies or whatever subsidiaries they establish to conceal their origins." Brown also echoed the sentiments of Elon Musk, CEO of Tesla, by calling Chinese EVs "an existential threat to the American auto industry."

However, reports also suggest that such drastic actions, if taken by the USA, would definitely be met by retaliation from China. This could further lead to an escalation in trade tensions.

Source: Reuters