Today, China's Ministry of Commerce (MOFCOM) criticized the U.S. for creating "obstacles" for Chinese autos to enter the U.S. market, amidst new announcements from the Biden administration that target China and Chinese automobiles.

President Biden has directed the Bureau of Industry and Security (BIS) at the Commerce Department to investigate potential national security concerns related to Chinese access to Americans' "connected vehicles."

In a recent report, a U.S. manufacturing group raised concerns about the threat of Chinese automobile companies using Mexico as a way to avoid U.S. tariffs imposed on Chinese imports, and recommended a number of measures to stop this.

As a follow-up to a recent piece on Volkswagen products being caught up by the Uyghur Forced Labor Prevention Act (UFLPA), there have been several reactions that are worth noting.

As Chinese auto exports increase rapidly, the scrutiny by foreign governments may intensify. Beijing is likely to use a wide range of tools to fight back while continuing support for its auto industry.

News reports indicate that certain Volkswagen luxury brands have seen imports into the U.S. held up at ports due to concerns about components made in Xinjiang using forced labor.

In a statement published this week, the China Association of Automobile Manufacturers urged the European Union to use caution in its anti-subsidy investigation, warning that it may harm the EU EV industry and global carbon neutrality goals.