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Senate Committee Advances Auto Bill with 15% China Ownership Cap That Could Bar Mercedes-Benz

2026-07-22 17:56:03

According to CNBC, the Senate Commerce Committee advanced bipartisan legislation on Wednesday (July 21) aimed at tightening restrictions on Chinese automakers, though the bill's 15% Chinese ownership threshold could unintentionally bar Mercedes-Benz from the U.S. market. Committee Chairman Ted Cruz noted that two Chinese investors collectively own nearly 20% of Mercedes-Benz: state-owned automaker BAIC holds 9.98% and Geely founder Li Shufu holds 9.69%, exceeding the proposed limit. The Motor Vehicle Modernization Act of 2026 is designed to prevent Chinese-linked vehicle technology from entering the U.S. over national security concerns. Mercedes-Benz would have until 2030 to comply with the ownership limit or seek a waiver.

Disclaimer: The information on this page may come from third-party sources and is for reference only. It does not represent the views or opinions of Gate and does not constitute any financial, investment, or legal advice. Virtual asset trading involves high risk. Please do not rely solely on the information on this page when making decisions. For details, see the Disclaimer.

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