U.S. Transportation Secretary Raises Concerns Over Ford's Chinese Partnerships

The U.S. Department of Transportation sent a letter to Ford Motor Co. on Tuesday warning that the company’s recent strategic moves raise “a troubling picture of a foundational American brand actively intertwining its future with Chinese state-backed enterprises,” according to Transportation Secretary Sean Duffy. The letter cited Ford’s use of licensed technology from Chinese battery maker CATL at the BlueOval Battery Park in Marshall, Michigan, and alleged that Ford was proposing a framework at the Detroit Auto Show to enable Chinese joint ventures on U.S. soil.

Ford responded that the CATL arrangement is a limited technology-licensing and services agreement, not a joint venture, and that the Michigan plant is wholly owned and operated by Ford, employing about 1,700 workers to produce batteries domestically. The automaker also rejected claims that it had proposed a joint-venture framework, stating that no such proposal was made.

The exchange occurs amid broader U.S. policy pressure on automakers to increase domestic production, including recent tariff actions affecting Canadian vehicles. Analysts note that Chinese car manufacturers already dominate global production and could enter U.S. showrooms within the next decade. Ford’s statement added that the company would have shared more details about its U.S. commitments had the secretary contacted it before issuing the letter publicly.

"Secretary Duffy’s letter is a wrongheaded attempt to capture headlines at the expense of a company that has done more for American manufacturing than virtually any other in the nation’s history," the Ford statement said.

"Had Secretary Duffy reached out before issuing his letter to the press, we would have been happy to share more details about Ford’s U.S. commitment," the company added.