Auto industry leaders are sounding the alarm, labeling Chinese competition an 'existential threat' to their survival. The Alliance for Automotive Innovation (AAI), representing the Big Three and others, argues Congress must maintain the Biden-era ban on importing Chinese vehicles and technology. Rivian CEO RJ Scaringe detailed the threat: Chinese automakers benefit from near-zero capital costs due to government subsidies and labor expenses roughly one-fifth of U.S. levels. Ford CEO Jim Farley echoed this, citing China's 6.1% European market share gain despite 35.3% tariffs, calling it an 'existential threat' driven by both tech advances and cheap labor infrastructure. General Motors CEO Mary Barra warned of a 'slippery slope' after Canada's trade deal allowing 49,000 Chinese EVs annually.

Stellantis in Europe is pushing for legislation to counter cheaper imports. The warnings highlight a global scramble to protect domestic manufacturing from subsidized Chinese competition.