Ford reportedly held talks with Xiaomi about manufacturing the Chinese firm’s electric cars in the US.
Former US President Joe Biden in effect banned Chinese vehicle imports by imposing a 100% tariff, and his successor Donald Trump added duties on software and hardware.
The collaboration would give Xiaomi — which Washington believes has ties to the Chinese military — a beachhead in the US, allowing restrictions to be bypassed, the Financial Times reported. Ford and Xiaomi denied talks took place. Ford’s CEO admires Chinese EVs and has said they pose an “existential threat” to Western carmakers, although China’s manufacturers have their own struggles: BYD saw sales drop for a fifth consecutive month as domestic demand collapsed.
