U.S. Proposes New Rules to Limit Chinese Auto Parts
The U.S. is proposing harsh new rules that seek to squeeze Chinese parts out of North America's vehicles in difficult trade negotiations with Mexico, the Financial Times' Aime Williams and Christine Murray report. As part of such proposals, the Trump administration is demanding that more car parts, including electronics, be sourced in North America for the assembled vehicle to be eligible for duty-free treatment, the authors say, citing people familiar with the talks. Such rules would make it more difficult for car makers to import parts from China while also claiming duty-free treatment, the authors note. Publicly traded companies in the space include Ford (F), General Motors (GM), Honda (HMC), Lucid Group (LCID), Mercedes-Benz (MBGYY), Nissan (NSANY), Rivian (RIVN), Stellantis (STLA), Tesla (TSLA), Toyota (TM) and Volkswagen (VWAGY).
