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Chinese carmakers ‘knocking at US gate’ from Mexico and Canada

Beijing-subsidised vehicles emerge as flashpoint in North American trade relationship

Chinese cars are increasingly driving a wedge between the US, Mexico and Canada ahead of a July 1 deadline to renew North America’s faltering free-trade pact, deepening a rift already torn open by Donald Trump’s tariffs.

The US is the only major market Chinese cars have yet to conquer — but it remains firmly off-limits. Washington has in effect banned them to combat suspected surveillance technology amid fears the vehicles, heavily subsidised by Beijing, would kill off America’s domestic auto industry.

By contrast, Mexico’s love affair with cheap Chinese cars has made it Beijing’s top car export destination and Canada is actively courting investment from Chinese electric-vehicle makers. For Beijing, that offers a tantalising toehold from which to launch into the US market.

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