On February 14, Bloomberg reported that Ford Motor CEO Jim Farley had consulted with senior Trump administration officials to discuss a potential plan for Chinese automakers to produce vehicles in the United States through cooperation with U.S. auto companies.
Ford CEO Farley
According to people familiar with the matter,The framework plan that Farley initially discussed with members of Trump's cabinet last month is to allow Chinese auto companies to produce cars in the United States through establishing joint ventures with American automakers, in which the American company holds a controlling stake.The joint venture structure will allow both Chinese and American partners to share profits and technological achievements.
The matter has not been finalized yet. Those discussions are at an informal, preliminary stage, people familiar with the matter said.
Farley discussed the idea late last month at the Detroit Auto Show with U.S. Trade Representative Jamieson Greer, Transportation Secretary Sean Duffy and Environmental Protection Agency Administrator Lee Zeldin, people familiar with the matter said. Just a few days before this discussion, U.S. President Trump said in a speech at the Detroit Economic Club on January 13 that if Chinese car companies build factories in the United States and hire American workers,He is open to Chinese car companies entering the U.S. market, saying, "Let China come in."
Ford responded that Farley accompanied cabinet ministers to the Ford booth during the auto show, and the two parties "discussed multiple industry issues," but declined to disclose the specific content.
People familiar with the matter said that although Farley did not push the joint venture plan,The idea has been met with a cold reception by Trump administration officials, who believe the package will face opposition in Washington.
Ford has been in talks over the past few weeks to expand its battery supply partnership with BYD and explore the possibility of a manufacturing partnership with China's Geely in Europe. In December, Ford expanded its licensing agreement with Chinese battery giant CATL from producing cells for electric vehicles to also manufacturing stationary energy storage power supplies for utilities and data centers.
The Financial Times recently reported that Ford was considering forming a joint venture with Xiaomi to manufacture cars in the United States, but this claim has been flatly denied by both parties.
Representatives from the EPA, the Office of the Trade Representative and the Department of Transportation did not immediately respond to requests for comment as of press time.