Bloomberg: Ford pitched China-style JV model to Trump admin

Ford Chief Executive Jim Farley has discussed with Trump administration officials a potential roadmap for Chinese automakers to produce vehicles in the US through joint ventures with local counterparts. According to a Bloomberg report, the framework would require US automakers to own a controlling stake in the JV, with both partners sharing profits and technology.

Sources told the outlet that Farley spoke with US Trade Representative Jamieson Greer, Transportation Secretary Sean Duffy and Environmental Protection Agency Administrator Lee Zeldin when they visited the Detroit Auto Show in January. The discussions came around the same time that President Donald Trump indicated he may be willing to allow Chinese automakers into the US on the provision they build local plants and hire US workers. However, no decision has been made and the discussions were characterised as informal and preliminary.

While Farley was stopped short of pushing the joint venture option, Trump officials were said to have given the concept a cold reception. Some administration officials view such an investment deal as a possible outcome of Trump’s planned April meeting with Chinese President Xi Jinping in Beijing. The framework is essentially a mirror image of what China required of Western automakers three decades ago when they had to partner with Chinese automakers to establish factories in the country.

Fellow Detroit OEM General Motors was decidedly less enthused about the idea, telling the Trump administration that it opposes Chinese entry to the US market. The argument was simple: existing companies would lose market share and a flow of parts from China could devastate North American suppliers. Ford Chief Communications Officer Mark Truby said the company’s discussions with the Trump administration have consistently emphasised “the need to protect our home market from a flood of subsidised vehicles built in China” while reiterating the perceived privacy and national security issues associated with Chinese vehicles.

Despite this, Ford increasingly finds itself associated with Chinese automakers. The Financial Times reported in early February that Ford was exploring a joint venture with Xiaomi to produce electric vehicles in the US—the precise arrangement Ford reportedly discussed with Trump administration officials. Both companies emphatically denied that any talks had taken place, or that Xiaomi was interested in pursuing a US market entry. 

Separate Reuters reporting a week later suggested that discussions were at a more advanced level with Geely about using Ford’s underutilised Valencia, Spain plant to build Chinese models for European customers. Ford did not issue a similarly unequivocal denial, telling the outlet that it holds “discussions with lots of companies all the time on a variety of topics” without confirming specifics, whilst Geely declined to comment.

Ford has been developing a US$30,000 electric pickup scheduled for 2027 launch on a new universal EV platform at its revamped Louisville assembly plant. Vice President Lisa Drake told investors the advanced EV programme will match the “full system cost” of leading Chinese automakers across all vehicle systems, from batteries to electronics. The platform, developed by a 500-person team led by former Tesla engineer Alan Clarke, will support eight body styles including trucks, crossovers and potentially sedans.

Farley has repeatedly offered effusive praise for Chinese automakers, perhaps no more so than Xiaomi. He even imported the smartphone maker-come-automaker’s SU7 e-sedan to the US for personal use, telling Argentina’s La Nación in December 2025 that he was “very impressed” with the vehicle, and describing Xiaomi itself as “the Apple of China”. He singled out the SU7’s digital experience—particularly its facial recognition AI and chatbot assistant, saying that it reminded him of a Porsche Taycan. Unlike the Taycan, however, the SU7 starts around US$30,400—not US$99,500.

Farley also warned during the company’s fourth-quarter earnings call last week that China’s combination of heavily subsidised low-cost production and weak domestic demand poses a “wild card” that threatens established automakers worldwide as manufacturers seek outlets for excess production.