On the Dash:
- Chinese automakers remain a UAW priority as it urges Congress to keep the House China committee.
- A permanent Chinese auto ban could see a Senate vote as early as next week.
- Dealers should note that the 2025 rule and tariffs on Chinese EVs remain in place.
The United Auto Workers is urging Congress to keep the House China Select Committee in place when Democrats take control of the chamber, citing concerns about Chinese automakers. The union’s push comes as a permanent ban on Chinese vehicles still hasn’t cleared Congress, and dealers will want to keep an eye on it.
In a letter seen by Reuters, the UAW told House Speaker Mike Johnson and Democratic Leader Hakeem Jeffries that it’s worried about global overcapacity in electric vehicles, Chinese ownership of Western automakers and continued offshoring to China. The union doesn’t want any lapse in congressional attention on those issues.
UAW wants House China committee to stay
The UAW says those issues are already producing rapidly emerging downstream effects for autoworkers, which is why it wants Congress to stay focused. Jeffries said this week he’d meet with Democratic leaders on the committee’s future, so its path beyond this year is still open.
The select committee, led by Republican Rep. John Moolenaar, has investigated several China-related issues. Those include Ford’s partnership with Chinese battery company CATL and an abandoned plan by a subsidiary of Chinese battery maker Gotion to build a $2.4 billion battery materials plant in Michigan.
Moolenaar said this week the committee’s work should continue next year, pointing to the high-stakes technology competition in AI and China’s growing coercion of America’s allies and partners. That puts the committee’s Republican chair and the UAW on the same side of the question.
Permanent ban on Chinese autos still pending
Congress hasn’t yet passed legislation to make a ban on Chinese autos permanent. Sen. Bernie Moreno, a Republican co-author of the bill, told Reuters on Tuesday that he’s getting very close to a deal and hopes for a Senate vote as early as next week.
A group representing General Motors, Toyota, Volkswagen and other major automakers is lobbying Congress to finish the work this year. That lines up with the UAW’s message that lawmakers shouldn’t let up on the issue.
The current restrictions come from a regulation imposed by former President Joe Biden in early 2025, which effectively banned Chinese automakers from selling or building passenger vehicles in the US because they could send sensitive driver data to China. Washington also maintains tariffs of more than 100% on Chinese electric vehicles.
What U.S. dealers should watch for
Chinese passenger vehicles still can’t be sold or built in the US under the 2025 regulation, and the heavy tariffs on Chinese EVs remain in place, so nothing changes on the showroom floor today. What’s still open is whether Congress will lock the ban into law and whether the House China committee keeps investigating.
The Senate vote Moreno is hoping for as early as next week is the next date to watch, since the major automakers’ lobbying group wants the ban finished this year. Dealers who represent brands from those automakers may want to follow how that vote goes.
Ford’s CATL partnership has already drawn the committee’s attention, so the panel’s future matters for stores selling Ford products. The UAW’s focus on EV overcapacity and offshoring also points to the topics likely to stay in front of lawmakers as the debate continues.
