In 2024, Trump warned that Chinese auto imports would cause a bloodbath for American car workers – and the media spent a week calling him a liar.
Now a major auto CEO just went public with a warning that makes Trump look like a prophet.
What he showed reporters last week is the proof Trump's critics never wanted to see.
BYD and Chinese Automakers Already Own 22% of the British Car Market
José Muñoz, President and CEO of Hyundai Motor, sat down with reporters in San Jose and offered a warning about the spread of Chinese vehicles across the globe.
"The UK, which in the past was a very profitable, very strong market, has become like China," he said.
Chinese brands now account for more than 15% of all new car registrations in Britain – and the number keeps climbing.
In June alone, Chinese-owned vehicles made up over 22% of total UK car registrations for the month.
BYD – the Chinese state-backed automaker – knocked Tesla off its top spot as Britain's best-selling EV brand.
The Jaecoo 7, a model most Americans have never heard of, ranks as the third-most-registered car in the UK year-to-date.
In 2023, Chinese brands held just 4% of the British market – a takeover that unfolded in 36 months.
Britain has no tariffs comparable to what the EU imposed – and without a tariff wall, there is no defense.
Muñoz confirmed it: "All the top sellers are Chinese because there are no barriers."
Why Chinese EVs Are 30 to 40% Cheaper Than American and European Rivals
The price gap has nothing to do with superior engineering.
The Chinese Communist Party has pumped billions in state subsidies into its auto industry with one goal: crush foreign competition and take the market.
Chinese vehicles undercut rivals by 30% to 40% in markets like Italy, Spain, and France – and that gap exists even after the EU imposed additional tariffs because Beijing was found to be providing unfair state subsidies.
The EU's tariff wall slowed the advance on the continent.
Britain's open-door policy handed Chinese automakers a live proving ground with zero resistance.
BYD registrations in the EU surged 158.9% in just the first five months of 2026, while Chery Automobile – which sells under the Omoda and Jaecoo brands – exploded 265% in the same period.
China doesn't play by market rules – and the CCP doesn't need its auto industry to turn a profit. It needs it to win.
Beijing is also working around the front door.
BYD is already planning more than 20 Canadian dealerships after Ottawa lowered its duties on Chinese EVs to 6.1% – covering up to 49,000 vehicles annually – as part of a broader trade deal earlier this year.
Chinese automakers have poured investment into Mexican manufacturing plants, positioning themselves to ship vehicles into the US market under USMCA trade rules at a fraction of the tariff rate.
Trump's trade team is watching both borders.
Trump's 100% Tariff on Chinese Electric Vehicles Is the Only Thing Protecting American Automakers
A 100% tariff on Chinese electric vehicles is the only wall standing between American dealers and what just happened in Britain – and Trump has held that wall firm.
Muñoz was direct about what the tariff is actually doing.
"So I think we could expect similar things to happen in the US, at different levels, unless there are certain conditions," he warned.
Trump signaled last week he'd welcome Chinese automakers into the country on one condition: build the vehicles on American soil.
Forcing Chinese companies to invest in American factories means American jobs and American legal accountability – a fundamentally different outcome than allowing Beijing-subsidized imports to undercut domestic producers and drain the market dry.
America still has the chance to set those conditions before the damage is done, not after.
What Happens to American Dealerships If Trump's Tariff Wall on Chinese Cars Comes Down
Chinese brands went from 4% to 22% of the British market in 36 months – and Britain had tariffs, just not enough of them.
Muñoz was measured, but his conclusion was unavoidable.
"But the impact is going to be there for sure," he said.
Palmer Luckey, the defense tech founder who built Anduril Industries, put the stakes in terms most politicians won't.
"China would love to wipe out the American automotive industry, partly for economic reasons, because it also means we will never be able to fight a war against them," he said.
"There's the economic war and the kinetic war that they could win with one move, which is outcompeting our automotive industry."
Keeping that tariff wall standing is the price of a domestic auto industry – and if Luckey is right, the price of being able to defend this country when it matters most.
Ford workers, GM workers, Dodge workers – and the dealers who sell their trucks every morning – are all one bad trade deal away from finding out what Britain's auto industry feels like right now.
Sources:
- "Hyundai Motor CEO Warns of Chinese Vehicle Surge in the US Without Guardrails," Reuters/AJOT, September 18, 2026.
- "Chinese Cars Are Conquering Britain — Government Says No More Tariffs," Auto Express, 2026.
- "Chinese Brands Lead Biggest Market Share Gains in First Half of 2026," Automotive Management, 2026.
- "BYD Outperforms Tesla Across Europe," Automotive Management, 2026.
- "Chinese OEMs Gain Market Share in UK and EU Automotive Markets," Automotive Logistics, 2026.
- "Luckey Forecasts Next War Will Be Won on Transformed Civilian Manufacturing," Defence Connect, 2026.