Senate Sponsor Says Chinese Vehicle Bill Won't Ban Mercedes-Benz in US
A sponsor of a bill to tighten the US ban on Chinese vehicles says negotiations are underway to ensure Mercedes-Benz is not barred from selling in America.
A Republican senator sponsoring legislation to tighten the US government's ban on Chinese vehicles said talks are ongoing to ensure German automaker Mercedes-Benz is not prohibited from selling cars in the United States.
The bill, approved by the Senate Commerce Committee in July, would bar companies with more than 15% ownership by Chinese entities from selling vehicles in the country. Mercedes-Benz has nearly 20% passive ownership from Chinese entities, placing it above the proposed threshold.
"What we're not going to do, obviously, is ban Mercedes-Benz vehicles in America," said Senator Bernie Moreno, the bill's sponsor. He added that there is concern about whether the company can reduce its Chinese ownership to 15% "without debilitating their company."
Moreno said he hopes to secure fast-track approval for the Chinese vehicle bill this week before the Senate adjourns until November.
The legislation aims to strengthen existing restrictions on Chinese-linked vehicle sales, but the ownership limit has raised questions about its impact on established automakers with significant Chinese investment.