--- title: "Mercedes Doesn’t Plan on Being Kicked Out of the US, CEO Says" date: "2026-07-28" modified: "2026-07-28" authors: - name: "Adam Ismail" job_title: "Senior Editor" link: "https://www.thedrive.com/authors/adam-ismail" url: "https://www.thedrive.com/news/mercedes-china-ban-threat-ceo-response" categories: - "Mercedes-Benz News" - "News" - "News by Brand" tags: - "Mercedes" --- # Mercedes Doesn’t Plan on Being Kicked Out of the US, CEO Says ![Mercedes-Benz assembly line in Alabama]() *\Andrew Caballero-Reynolds/Getty Images\* If you've been paying attention to headlines, you know that [Mercedes]()' name has come up a lot regarding a potential ban resulting from a new bill to lock out any automaker from the U.S. market with more than 15% Chinese investment. The thing is, this country is too lucrative for Merc to simply exit, which is why it's very important that CEO Ola Källenius finally came out and said that the brand has no intention of going anywhere. "If we need to make adjustments to comply ​with anything, we will make sure that we protect our presence and our business in the U.S.," Källenius said, per *[Reuters]()*, during the company's Q2 earnings report. "We are not naive about the geopolitical environment and the competition between the United States and China." According to Källenius, Mercedes is "deeply involved" in conversations with officials to work this out, which you'd expect. Part of that could involve pouring even more money into U.S. manufacturing—something the luxury make is, of course, no stranger to already, with its main global SUV plant in Tuscaloosa, Alabama, and a battery plant nearby in Woodstock. The chief executive floated the possibility of a new engine factory, though that may depend on [the outcome of USMCA negotiations](). Global sales of Mercedes' passenger cars [dropped 7% in the second quarter](), but sales in the U.S. specifically rose by 10%. It wasn't enough to counter a whopping 30% drop in China, though, if you're Källenius, results like that make it pretty clear where you should focus your effort. Unfortunately, the very market that deserves the attention is the one that's actively threatening to push Merc out, as 20% of the company belongs to Chinese parties, beyond the newly proposed threshold of 15%. Last week, when the U.S. Senate Commerce Committee voted for the legislation, Bernie Moreno, the Republican Senator from Ohio who co-authored the bill with Democratic Senator Elissa Slotkin of Michigan, said that Mercedes "could get waivers if ⁠needed from the ownership requirement if necessary," [according to *Reuters'* reporting](). Republican Senator Ted Cruz of Texas, the Committee's chair, opposed the bill as it stands, saying that "we would never consider" banning Mercedes from the U.S. He also claimed that General Motors supported the measure to boot the German automaker from the states, in hopes that Cadillac could recapture its forfeited market share. GM, for its part, has denied that its advocacy of the bill is tied to any single competitor. *Got a news tip? Reach out to tips@thedrive.com* ## Author Adam is a Senior Editor at The Drive, concentrating on curating and developing the site's slate of daily journalism, from initial pitch to final copy edit. When he's not at his desk researching leads and working with writers, he's testing vehicles or reviewing racing games, new and old. He joined The Drive in 2023, following seven years of covering consumer technology and cars. A car lover and gamer since his earliest memories, Adam came to know the automotive world through video games. First it was Daytona USA, Sega Rally, and Ridge Racer; then came Need For Speed, which inspired an encyclopedic knowledge of '90s supercars, and, of course, Gran Turismo. If not for them, he'd assuredly be doing something else right now. Adam is based in the suburbs outside Philly, where there are ample roads for his hot hatch to stretch its legs. In his car, he's probably listening to indie rock, drum and bass, or Yankees baseball. ### Author social links [Bluesky]() [Instagram]() [LinkedIn]()