Trump administration criticizes Ford over alleged China technology and manufacturing ties
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The Trump administration's letter to Ford highlights heightened political scrutiny of U.S. automakers' China-linked supply chains, specifically Ford's CATL battery technology licensing and delayed reshoring of some Lincoln production. While Ford disputes the claims and emphasizes U.S. job creation, the exchange reinforces policy uncertainty around tariffs, localization, and Chinese EV competition. Near-term, this can raise headline and regulatory risk premia for Ford and peers.
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The Trump administration said it had “profound concern” about Ford’s alleged links to Chinese technology and manufacturing, including relationships with companies such as battery maker CATL. It also criticized Ford for delaying plans to move production of some Lincoln models from China to the United States until 2030. Ford rejected the allegations, saying a Michigan battery facility has created 1,700 jobs and that its arrangement with CATL is a limited technology-licensing deal. Experts told CNN that Chinese automakers could appear in U.S. showrooms within the next five to 10 years.
