US Senate: Sales ban for Mercedes due to Chinese shares?

Anxiety at Mercedes US Senators Want to Make Life Harder for Connected Car Manufacturers

2026-07-23 Source: dpa | Translated by AI 1 min Reading Time

Automobile manufacturers with Chinese shareholders could see their business disrupted by an idea from some US senators. Among others, Mercedes-Benz could be affected ...

Because two Chinese entities each hold a ten percent stake in Mercedes-Benz, it could become a problem if a bill supported by some US senators were to take effect ...(Image: Mercedes-Benz) — Because two Chinese entities each hold a ten percent stake in Mercedes-Benz, it could become a problem if a bill supported by some US senators were to take effect ...
(Image: Mercedes-Benz)

A draft law that could lead to a sales ban on Mercedes-Benz in the U.S. due to Chinese shareholders has cleared its first hurdle in the U.S. Senate, according to dpa. The responsible committee has approved the draft for review by the full chamber of Congress. The draft aims to ban the import, production, sale, and resale of so-called connected vehicles from manufacturers in which Chinese players hold more than a 15 percent stake. In the case of Mercedes-Benz, nearly ten percent is owned by the Chinese automaker Baic, and nearly another ten percent by Li Shufu, the founder of Geely. However, Mercedes responded by pointing out, among other things, that no shareholder holds more than ten percent and that the major shareholders are not directly represented on the supervisory board or involved in business decision-making.

The new model from Kecskemét: the fully electric C-Class. An extended version will be produced by Mercedes in China from 2027. (Source: Mercedes-Benz)

US Politicians Are Divided and Appeasing

At the same time, the Mercedes-Benz group reminded that the company contributes to around 160,000 jobs in the U.S.—including at the two plants in Tuscaloosa, Alabama, and Charleston, South Carolina. The debate in the Senate Committee on Commerce, Science, and Transportation also showed that there are indeed differences among the senators. Influential Republican Ted Cruz, for example, advocated for removing the 15 percent threshold. He also questioned whether this value might have been chosen simply to weaken the German rival of the U.S. giant General Motors. Both Cruz and Democrat Bernie Moreno, who is notably behind the draft, assured that they do not want a sales ban on Mercedes vehicles in the U.S. They also pointed out that the draft is intended to give automakers the option to apply for exemptions from the Department of Commerce.

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