Yes
He should.
No
He shouldn’t.
President Donald Trump is once again putting America’s relationship with China — and the future of the U.S. auto industry — at the center of a major national debate.
Trump recently said he would be open to Chinese automobile companies building vehicles inside the United States, provided those companies establish American factories and employ American workers. Trump compared the idea to foreign automakers from countries such as Japan that have built manufacturing plants across the United States and created thousands of American jobs. At the same time, Trump has said he does not want Chinese companies manufacturing vehicles in Mexico and then shipping them across the border into the U.S. market.
The proposal has drawn significant opposition from automobile manufacturers, industry organizations, and lawmakers. Several major auto industry groups have urged the Trump administration to maintain restrictions on Chinese automakers, arguing that Chinese companies could pose economic, competitive, data-security, and national-security concerns. Current federal restrictions also create major barriers to Chinese-connected vehicles entering the American market.
Supporters of allowing Chinese companies to manufacture in America could argue that requiring production inside the United States might create manufacturing jobs, increase investment, expand consumer choices, and bring additional competition to the electric vehicle market.
Critics see the issue very differently. They worry that heavily competitive Chinese automakers could place additional pressure on American manufacturers and potentially give China greater influence over an industry that is becoming increasingly dependent on software, batteries, connected technology, and advanced electronics.
The broader question therefore goes beyond whether Americans want Chinese electric vehicles. It is also about what conditions should apply when foreign companies want access to the enormous U.S. consumer market.
Should America welcome foreign investment when it creates jobs here, regardless of where the parent company is based? Or should Chinese automobile companies face tougher restrictions because of economic and national-security concerns?