US transport secretary warns Ford over Chinese partnerships
The US Department of Transportation has criticised Ford’s links with CATL, Geely and BYD amid continuing trade tensions between Washington and Beijing.
US Transportation Secretary Sean Duffy has warned Ford that its partnerships and discussions with Chinese companies raise national security and supply-chain concerns, according to a letter made public on Tuesday.
The letter, sent to Ford chief executive Jim Farley late the previous week, questioned the company’s partnership with battery maker CATL at its plant in Marshall, Michigan. Ford produces lithium-iron-phosphate battery cells there through the arrangement.
Duffy also criticised Ford’s joint venture with Geely in Spain, claiming it could help strategic adversaries gain a foothold in Western markets. The Department of Transportation further raised concerns about reported discussions with BYD over parts for hybrid vehicles, arguing that the arrangement could deepen reliance on subsidised foreign technology.
CATL was among companies banned by the US Department of Defence in January 2025. Ford had planned to move production of its Lincoln Nautilus from China to the United States by 2030, but Duffy said that plan would leave a multi-year period of reliance on Chinese manufacturing.
The letter represents official criticism and does not establish that Ford breached any law or policy. The source does not indicate whether the Department of Transportation’s concerns will result in regulatory action or changes to Ford’s partnerships.
Ford shares fell 4.2 per cent on Tuesday after the letter became public. Ford had not responded to Al Jazeera’s request for comment at the time of publication.
