The US-China trade war heats up as the Biden administration has signaled a warning that electric vehicles from China could pose a “significant national security risk” in that the huge amount of data they collect could be sent to China.
The US has imposed extra tariffs on Chinese EVs since 2019, with US officials having long warned that China poses a threat in data security.
Chinese companies MG, BYD, and Chery have been scouting sites in Mexico and talking to officials for better access to the North American market. MG is planning to build a $2 billion factory, while BYD is ramping up investments worth hundreds of millions for its own factory – actions which have set off alarm bells in Washington.
