·Guangzhou's US business is threatened by tariff disputes or delays export planning

According to Auto News, GAC Motor intends to become the first Chinese automaker to export light vehicles to the United States. After US President Donald Trump threatened to impose tariffs on imported cars, GAC may have to freeze these plans.

Li Shao, deputy general manager of Guangzhou Automobile Group Co., said that the decision (referring to the freeze plan) is based on whether the tariff will make its car too expensive to be competitive in the United States.

Li Shao pointed out that although this (and its) threatened tariff policy is being studied, "we still believe that the leaders of the United States and China have the wisdom to deal with these conflicts."

But he also admitted that the imposition of tariffs may disrupt GAC's plan to sell seven GS8 crossovers in the US by the end of 2019. At present, GAC has begun to recruit US dealers for the above plans.

Li Shao said in the global automotive forum held in western China last week: "If they (the United States) really raise the tariff, then this will have an impact on our plan."

Li Shao said: "This is still under discussion, so we have to wait and see. We must investigate whether we are competitive enough in the US market. If we increase the tariffs in the United States, our (product) price competitiveness is not enough. Then we may delay our plan."

The United States has launched a national security survey on imports of cars and trucks, which could lead to new tariffs in the United States.

The United States has openly targeted tariffs to (foreign) automakers. This idea was raised when Washington and Beijing debated a series of trade disputes. Tariffs on imported cars may be a way to stop the US before the start of the wave of imported goods from China.

GAC is one of the Chinese companies that have been eager to enter the US market. The company opened a research center in Silicon Valley and announced plans to open offices in Detroit and Los Angeles this year. In addition, the Guangzhou Automobile GS8 model was unveiled at the Detroit Auto Show in January this year.

Li Shao said that since the company was founded, GAC has been hoping to become a global car company. He said: "Chinese companies will go global in the future. China's automakers will shift from product technology and brand acceptance to product technology and brand exporters. We are ready to enter the North American market."