American Car Exports to China Just Hit a 16-Year Low
American car exports to China just hit their lowest point in 16 years. U.S. passenger vehicle shipments to China dropped 58% over the past year and 78% since 2017, the year before tariffs kicked in. China's share of total U.S. car exports fell from over 8% in 2024 to just 2.17% by October 2025. Mercedes-Benz SUVs built in Alabama and shipped from Georgia's Port of Brunswick—the nation's busiest vehicle export terminal—are taking the biggest hit. This isn't market forces. This is retaliation, and it's costing American workers.
The timing tracks with broader trade war damage. China stopped buying American soybeans for five straight months in 2025, the longest freeze on record. Now cars are getting the same treatment. While the U.S. rolled back EV incentives and fuel-economy standards, China went all-in on electric. EVs and hybrids now make up 50% of China's domestic market, and Chinese automakers exported 7.1 million vehicles globally in 2025—a quarter of them electric. China beat Japan as the world's top car exporter in 2023 and hasn't looked back.
Canada Just Changed the Game
Canada flipped the script this week. After imposing a 100% tariff on Chinese EVs alongside the U.S. in 2024, Prime Minister Mark Carney announced Canada will now allow 49,000 Chinese electric vehicles in at a 6.1% tariff—climbing to 70,000 units annually by year five. That undercuts American automakers who rely on Canada as their biggest export market. Mexico raised tariffs on Chinese EVs from 20% to 50%, but BYD is already building factories there to dodge the fees.
U.S. automakers are getting squeezed from three directions. They're losing China, domestic sales are soft, and now Canada's opening the door to cheaper Chinese competition. GM just cut a shift at its Oshawa, Ontario pickup plant, and Stellantis moved Jeep production from Canada to Illinois after scrapping government-backed expansion plans. Ford canceled the F-150 Lightning despite it being 2025's top-selling electric truck.
My Verdict
The trade war just got real for Detroit. American automakers are bleeding market share in China, losing production volume in Canada, and watching allies hedge their bets with Chinese imports. If you work in auto manufacturing or own stock in Ford, GM, or Stellantis, this is your warning. The path forward means building EVs that compete globally—or accepting a shrinking slice of a market that's moving on without U.S. brands. The math is brutal: China exported more cars last year than the U.S. built domestically. That gap isn't closing.