Ahead of the Detroit Auto Show, US President Donald Trump paid a visit to the city, declaring that he was “standing up for the American auto worker like no president has ever stood up before.”
Stocks tied to the automotive sector were not in a welcoming mood. Between January 9 and 15, General Motors slid 3%, Ford Motor fell 4%, and Stellantis dropped 11%, due in large part to announced losses related to electric vehicles following the Trump administration’s turn away from EVs.
At the show, the main topic of conversation on the floor was not Trump, but the question of when Chinese automakers will arrive in the US.
The discussion was spurred by the CES technology show held a week earlier in Las Vegas.
The event had enough Chinese automakers to feel like a car show, despite the fact that they do not make or sell vehicles in the US An executive at major Chinese EV company Geely said the company is weighing an expansion into the US, with an announcement expected to come in the next 24–36 months.
Speaking in Detroit on January 13, Trump said to “let China come in,” indicating he would not block them from manufacturing in the US.
The show, by contrast, felt as if it was keeping China out. EVs were scarce, and many US automakers put non-electric models front and center. But consumers seem to have their sights set further out.
BYD cars are everywhere in Brazil, said an engineer in the country who came to Detroit to see GM models that use parts he worked on. Chinese automakers could start making cars in the US, the engineer said.
BYD already dominates EV sales in Brazil, accounting for 72% of the total in 2025. It opened its first South American plant there in July.
Joe McCabe, CEO of AutoForecast Solutions, argued that it is only a matter of time before Chinese players come into the US, saying that it is consumers who decide whether products are good.
Much like how Japanese and South Korean automakers emphasized the quality of their cars when they first entered the country, Chinese companies are scrambling to figure out how to connect with consumers to gain market share, McCabe said. That led them to exhibit at CES despite the tensions between China and the US.
There are vehicles in the US that consumers know well without realizing their connection to China. A prime example is Sweden’s Volvo, which is owned by Geely. The Chinese company is considering using Volvo production facilities in the US for its expansion into the country.
One word Trump kept coming back to in Detroit was “affordable,” which in the US denotes cars prices around USD 20,000–30,000.
Although the US now levies a 100% tariff on Chinese vehicles, automakers there have models that could double in price and still come in below USD 30,000. The fact that they are produced in China is what makes those low prices possible, but if these companies can manufacture in the US as well, they could pose a threat.
According to Peipai Zhao, president of the North American operations of Chinese LiDAR (light detection and ranging) sensor maker RoboSense, Chinese automakers considering entering the US are weighing three options: improving quality to attract consumers, partnering with US companies, or setting up a different company with no connection to China. Either way, affordability looks likely to be key.
This article first appeared on Nikkei Asia. It has been republished here as part of 36Kr’s ongoing partnership with Nikkei.