American automaker Ford (F) and China’s smartphone giant Xiaomi (HK:1810) have denied rumors of a joint venture to help the latter sell its electric vehicles (EV) in the U.S. Over the weekend, the Financial Times reported on a potential EV collaboration between Ford and Xiaomi to help the Chinese carmaker gain a foothold in the U.S. The report also mentioned that Ford has discussed potential U.S. partnerships with BYD (HK:1211) (BYDDF) and other Chinese automakers.
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Ford immediately dismissed the news stating, “This story is completely false. There is no truth to it.” Meanwhile, a spokesperson for Xiaomi refuted the news and stated, “it does not sell its products and services in the United States and is not negotiating to do so.”
U.S.’ 100% Tariffs Block Chinese EVs
Since 2024, China-made EVs have faced a 100% U.S. tariff, making them financially unviable for sale there. Some brands have also reportedly eyed Mexico production to bypass the levies. Currently, only Polestar (PSNY) and Lotus sell autos in the U.S., both are majority owned by Chinese, but they are headquartered in Sweden and the UK, respectively. U.S. President Trump recently stated that it is okay if Chinese car brands build factories in the U.S. and hire American workers.
Xiaomi, which has been one of the largest smartphone makers in China, entered the auto industry in March 2021. Xiaomi debuted its first EV, the SU7 in March 2024, which was a direct rival to Tesla’s (TSLA) Model 3. Despite being a newcomer to China’s EV market, Xiaomi’s share has surged ahead. It delivered 135,000 vehicles in 2024, 411,837 autos in 2025, and targets 550,000 for 2026.
Ford CEO Jim Farley and Nvidia (NVDA) CEO Jensen Huang have been fans of Xiaomi’s autos. Farley has warned earlier that Chinese rivals threaten Western automakers and predicted they will soon enter the U.S. market.
Is Ford a Good Stock to Buy Now?
Analysts remain sidelined on Ford stock currently. On TipRanks, F has a Hold consensus rating based on two Buys, 11 Holds, and one Sell rating. The average Ford Motor price target of $13.87 implies that shares are almost fully valued at current levels. Over the past year, F stock has surged over 40%.
