Automotive analyst John Murphy doesn’t expect Chinese automakers to gain meaningful access to the U.S. market anytime soon, according to his latest outlook released Tuesday, though he warns that removing existing barriers could severely disrupt American automakers and domestic production.
Despite growing speculation that Chinese-made vehicles will soon reach U.S. showrooms, Murphy told CNBC he sees little appetite among U.S. lawmakers to allow that, largely because of the effect it could have on American automakers and domestic production.
Generated by Murphy Automotive Partners
Vehicles built in China and imported into the U.S. currently face a 100% tariff under the Trump administration’s trade policy, which has effectively kept nearly all Chinese brands out of the country. Starting next year, the Commerce Department will bar automakers from importing and selling U.S. vehicles that contain technology developed or manufactured by Chinese companies. As a side note, beginning this fall, a small number of Chinese automakers, including BYD and Geely, are expected to begin selling vehicles in Canada.