From Fortune Magazine:

Chinese electric vehicle (EV) makers are shifting their focus to Mexico, where sales of Chinese-made EVs are booming. Manufacturers like BYD, Chery, and MG plan to build factories in Mexico to take advantage of the country’s free trade agreement with the US and Canada. This move is seen as a way for Chinese companies to bypass tariffs and gain access to the US market. While the US government has imposed tariffs on Chinese EVs to protect its domestic industry, Chinese companies are aiming to use Mexico as a foothold to enter the US market. Chinese EV makers are also eyeing other countries with free trade agreements with the US, like South Korea, to circumvent tariffs. This shift in strategy has raised concerns among US and Canadian automotive industry leaders, who fear that Chinese firms are using these strategies to weaken North American manufacturers. With Chinese EVs already being sold in over 100 countries, the US market is the only one where they have not yet made a significant impact, making it crucial for US authorities and manufacturers to closely monitor these developments. As China’s EV industry continues to expand rapidly, companies in North America must prepare for potential competition from Chinese EV makers.



Read more: Chinese EV makers’ Mexico plans spark fears in U.S.