Asian carmakers besting US rivals at home, China poised to strike
NEW YORK - Major US automakers have watched their domestic market share shrink even more thanks to their Asian competitors -- a situation that may worsen if Chinese firms are able to enter the US market, an idea floated by President Donald Trump.
Major US automakers have witnessed their domestic market share decline due to competition from Asian rivals. According to senior economist Charlie Chesbrough of Cox Automotive, Asian brands are projected to hold over half of US new vehicle sales in the third quarter, marking the second consecutive quarter with such high market share levels.
The trend is attributed to Asian companies' significant advantages in hybrid vehicles, which have grown in popularity as gas prices remain volatile due to geopolitical tensions. While General Motors remains the overall leader in US sales, Japan's Toyota is rapidly closing the gap, with both cars experiencing slight decreases in market share in the first nine months of 2025.
Ford has been projected to fall to fourth place, although Hyundai-Kia's sales have not progressed as anticipated, keeping Ford in the third spot. FCA US, the maker of Chrysler, Jeep, and Dodge, currently holds sixth place behind Japan's Honda. Despite the competitive industry, President Donald Trump has expressed openness to allowing Chinese cars in the US, provided they build factories and hire American workers.
However, carmakers, parts manufacturers, and dealers have urged Trump to prevent Chinese automakers from selling, importing, or manufacturing vehicles within the US, citing concerns over national security and data privacy. Chinese automakers like BYD, Geely, and SAIC are estimated to potentially sell up to 1.7 million cars in the United States, comprising nearly 11% of the market, by 2038.
However, punitive customs duties and tariffs imposed by various governments make such an influx prohibitively expensive.
Written by urgent.news from Bangkok Post Business's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
