Gate News message, April 22 — Chinese electric vehicle brands including BYD, Xiaomi, and Zeekr are gaining traction with U.S. consumers through social media and influencer marketing, despite facing a 100% tariff and regulatory restrictions that prevent direct market entry. Beijing-based auto content platform DCar hired U.S. creators to test these models, with videos accumulating millions of views. Research firm Strategic Vision found that one-third of U.S. new-vehicle buyers would consider purchasing a China-built vehicle, up significantly from 18% in 2021.
The U.S. has erected multiple barriers beyond tariffs. In 2024, the country imposed a 100% tariff on Chinese EVs and subsequently barred connected-vehicle hardware and software originating from China. The restrictions cover cellular links, Wi-Fi modules, Bluetooth and satellite systems, as well as software powering vehicle connectivity and automated driving systems. Because these rules are framed as national security measures, they may prove harder for automakers to circumvent than tariffs alone.
Chinese automakers are pursuing indirect routes to the North American market. BYD and Geely are competing to acquire a Nissan-Mercedes-Benz joint venture plant in Aguascalientes, Mexico, which has an annual production capacity of 230,000 vehicles. Additionally, Canada permits up to 49,000 Chinese-built EVs annually at a 6.1% tariff rate under a January trade agreement. Meanwhile, U.S. automakers are adjusting their strategies; auto suppliers report that the planned 2028 launch of refreshed Chevrolet Silverado, GMC Sierra, and Cadillac Escalade IQ electric trucks has been shelved with no new timeline announced.