China could flood U.S. electric-vehicle market with its offerings, Energy Secretary Jennifer Granholm warns

China could flood the U.S. electric-vehicle market with its offerings, Energy Secretary Jennifer Granholm warned Wednesday, weeks after President Joe Biden raised similar concerns.

"We are very concerned about China bigfooting our industry in the U.S. even as we are building up now this incredible backbone of manufacturing," Granholm said during a discussion panel at an Axios event.

China is being perceived as a threat to the U.S. auto industry as U.S. vehicle exports decline and companies such as General Motors cut international operations.

"We saw this happen in the solar industry ... there was a flooding of the market," Granholm said.

China exported nearly 5 million vehicles in 2023, China Association of Automobile Manufacturers data showed, overtaking Japan to become the world's No.1 country for car exports in 2023.

Chinese EV makers have also been releasing new models in record times, and the outlook for Chinese automakers remains stable despite intensifying competition, said Fitch Ratings in December.

"China is investing massive amounts for the purpose of bigfooting so we need to understand that it is important for people to buy EVs in an affordable fashion but we can do that and we can keep our country safe," said Granholm.

The White House said last month the U.S. was probing whether Chinese vehicle imports pose national security risks, as they could collect sensitive data about U.S. citizens and infrastructure and send it to China.

"China's policies could flood our market with its vehicles, posing risks to our national security," U.S. President Joe Biden said in a statement. "I'm not going to let that happen on my watch."

The U.S. is attempting to boost domestic EV supply chains through the Inflation Reduction Act, which