Hyundai Motor CEO warns of Chinese vehicle surge in the US without guardrails

Hyundai Motor CEO Jose Munoz has expressed concern that the US could face a surge of Chinese vehicle imports similar to the impact seen in Europe unless the country maintains tariffs and market-access safeguards. Chinese automakers have rapidly expanded in Europe, undercutting established manufacturers like Hyundai and Volkswagen by offering vehicles at significantly lower prices, despite trade barriers including tariffs and minimum pricing commitments.

Britain, which left the EU in 2020, has not introduced similar tariffs, leaving the market vulnerable to Chinese competition. As a result, Chinese-branded cars now make up more than 9% of new car registrations in the EU and 15% in the UK. The European Automobile Manufacturers’ Association and the Society of Motor Manufacturers and Traders have reported this trend.

To mitigate the impact, Munoz urged the US to impose conditions on Chinese companies, echoing warnings from Detroit automakers about the potential entry of Chinese brands into the US market within the next 5 to 10 years.