White House

US to confront China over 'unacceptable' auto policies: Report

The White House is planning to confront Beijing over perceived injustices in its automobile industry, Axios News reported late on Sunday.

President Donald Trump's team, including chief strategist Steve Bannon and National Trade Council director Peter Navarro, finds Chinese policy on U.S. car imports "unacceptable" and are currently working on a negotiation strategy, Axios said.

A General Motors Cadillac SRX at a dealership in Shanghai, China.
Tomohiro Ohsumi | Bloomberg | Getty Images

The president has plenty of leverage regarding tariff levels and ownership restrictions, so as Beijing looks to increase its auto exports stateside, Trump is well positioned to negotiate the terms of market entry, the report said.

American automakers are hit with a 25 percent import tariff when they sell in China, while U.S. producers seeking to form a joint venture are required to team up with domestic players who take a 50 percent stake, Axios said.

Read the full story here.

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