Washington is preparing for President Xi Jinping’s visit on September 24, with a delegation that might include notable Chinese firms like BYD, Xiaomi, and battery manufacturers CATL and Gotion. This selection raises eyebrows, as many of these companies are already under US regulatory scrutiny.
CATL and BYD were flagged by the Pentagon in its listings connected to the Chinese military, emphasizing the complexities of their participation. Xi’s intent to bring companies facing US sanctions parallels past actions by President Trump, who previously included scrutinized firms in his delegations.
The case of BYD Chairman Wang Chuanfu illustrates the tension between promoting foreign investment and security concerns. Although Trump has expressed openness to Chinese automakers building plants in the US—as long as they employ American workers—significant tariffs on Chinese EVs remain a barrier.
The implications extend to US automakers like Ford, which faces pressure not to open the market to Chinese competitors. Ford’s collaborations with CATL have already invited criticism from the US government, complicating its operations and eligibility for tax credits.
Ultimately, whether Xi’s delegation signals a genuine shift toward accommodating Chinese investments or simply serves as a diplomatic gesture will depend on the outcomes of the summit and how restricted firms navigate US market regulations.
