Democrats urge Trump to address Chinese auto concerns in North America trade talks

By David Shepardson

WASHINGTON, Feb 11 (Reuters) – Five Democratic U.S. senators on Wednesday urged the Trump administration to use free trade agreement talks with Canada and Mexico to crack down on Chinese automobiles in those countries.

The senators — Gary Peters, Elissa Slotkin, Amy Klobuchar, Tina Smith and Tammy Baldwin — called on the U.S. Trade Representative’s Office to use the review of the United States-Mexico-Canada Agreement to address concerns about Chinese EVs in Canada and Mexico even as Washington has effectively barred Chinese vehicles from the U.S. market.

KEY DETAILS:

* “USMCA must also be strengthened to meet the threats posedby Chinese competition, particularly Chinese cars,” the senatorswrote in a letter seen by Reuters. “The economic and nationalsecurity risks of Chinese vehicles entering the North Americanmarket are no longer a future threat – they are here today.” * The senators noted Chinese automakers and partscompanies are “rapidly investing in Mexico-based manufacturingand vehicle production.” * USTR did not immediately respond to a request for comment. * Canada has agreed to allow the import of up to 49,000Chinese EVs annually at low tariff rates, prompting PresidentDonald Trump to threaten to impose a 100% tariff on Canada. * Trump last month dismissed USMCA as “irrelevant.” * “China poses a clear and present threat to the autoindustry in the U.S.,” the Alliance for Automotive Innovationgroup told Congress.

(Reporting by David Shepardson; editing by Edward Tobin)