"US Customs Halts German Luxury Car Imports Due to Chinese Parts Controversy"

1 min read
Source: Mish Talk
"US Customs Halts German Luxury Car Imports Due to Chinese Parts Controversy"
Photo: Mish Talk
TL;DR Summary

The US has impounded thousands of Bentley, Porsche, and Audi vehicles at its ports due to a single part made by a Chinese supplier on a sanctions list for using forced labor in Xinjiang. Pressure is mounting on Volkswagen to exit its joint venture in Xinjiang, while German chemical giant BASF plans to divest from two joint ventures in the region. The US demands the origin of every component in imported vehicles, impacting global supply chains and leading to rising costs for US corporations and consumers. Meanwhile, China's ability to produce its own chips in response to US sanctions is reshaping the global technology landscape.

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