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Chinese brands accounted for about two-thirds of global electric vehicle sales in 2024, according to the International Energy Agency, but none of those sales occurred in the United States. Almost half of cars sold in China last year were electric, compared with about one in 10 in the U.S. Steep U.S. tariffs and regulatory barriers continue to block imports of Chinese-made EVs.
Nbc NewsElectric vehicles have been widely adopted in China, supported by a network of charging stations and past government subsidies. According to the International Energy Agency, almost half of the cars sold in China in 2024 were electric, compared with about 1 in 10 in the U.S. Chinese brands were responsible for about two-thirds of global EV sales last year, but none reached the United States.
Advanced technology and lower prices have contributed to the success of models such as BYD's Sealion 06, a midsize SUV equipped with leather seats, massage functions, an infotainment screen and a mini fridge. The vehicle charges quickly and sells in China for the equivalent of about $20,000.
A smaller BYD hatchback called the Seagull sells for about $13,000. "This feels like luxury, but not a luxury price," said Lei Xing, a Chinese American podcaster and consultant who covers the auto industry. Xing likened BYD to the "Volkswagen of China" and noted that the Sealion 06, launched almost a year ago, is not yet available in the United States.
Interest in Chinese EVs has grown among some American consumers. A recent study by Cox Automotive found that 38% of Americans say they would be extremely or very likely to consider purchasing a Chinese-made electric vehicle. That interest exists alongside U.S. trade and regulatory barriers.
In 2024, the Biden administration announced a 100% tariff on all electric vehicles imported from China and a ban on Chinese technology in internet-connected vehicles on American roads. Congress is now seeking to codify the technology ban.
Tesla's retail sales in China fell almost 10% in April compared with a year earlier, according to data released Monday by the China Passenger Car Association. The company's Model Y remains one of China's top-selling passenger vehicles. Tesla, which operates a production facility in Shanghai, is developing a cheaper compact SUV for the Chinese market.
The company has faced pressure in China where its models sell for more than $30,000. Musk is among American chief executives expected to travel to China this week as part of President Donald Trump's state visit. U.S. automakers have monitored developments in the Chinese market.
Dan Wang, a technology analyst and research fellow at Stanford University's Hoover Institution, said major automakers' chief executives have visited China in recent years to observe local demand.
Guo Fengjin, 54, paid about 130,000 yuan ($18,000) for his BYD Qin Plus sedan. "I feel I trust domestic brands," he said at a charging station in Beijing, citing higher repair and maintenance costs for American brands. Ford Motor Co. CEO Jim Farley drove an electric car from the Chinese brand Xiaomi for six months in 2024.
Farley has said Ford plans to expand partnerships with Chinese companies outside the U.S. while protecting American manufacturing from potential competition. Social media platforms including TikTok have featured videos by Americans reviewing Chinese EVs, some of whom attended events in China on sponsored trips.
Xing said numerous American YouTubers conducted car reviews at the Beijing auto show, which ended May 3. Michael Dunne, founder and CEO of Dunne Insights, said allowing Chinese cars into the U.S. could lower EV prices in the short term but would carry economic costs.
Wang said he favored greater Chinese investment in the U.S., noting that Japanese competition and investment in the 1980s improved American cars.
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