China looking to manufacture and export cars to the West

By Phillip Yu

In an industry largely dominated by the Americans, Germans, and Japanese, it’s a bit odd to imagine Chinese cars breaking into the Western industry. However, Chinese automakers already have begun talking with Western auto-parts companies in search of parts that meet American and European regulatory standards.

Interestingly, China, the world’s largest auto manufacturer, also boasts one of the highest tariffs on imported cars at a staggering 25 percent (compared to the 2.5 percent tariff in the United States). Given China’s past strategies with exporting solar panels and wind turbines, American and European officials are cautious about allowing China to tap into their domestic markets while the Chinese home market remains firmly protected by high import tariffs and other trade barriers.