Peter Schiff Says ‘High-Quality’ Chinese Vehicles Sold in Panama Cost Half as Much as Comparable Models in US, Blames Tariffs: ‘Americans Pay More…’

Economist Peter Schiff said consumers outside the U.S. are getting access to vehicles made by Chinese automakers at prices he says are substantially lower than “comparable” vehicles in the U.S.

Trump’s Tariffs Keeping Chinese Automakers Out

In a post on X on Sunday, Schiff said that “High-quality Chinese cars” were being sold in Panama “for half the cost of comparable cars sold in America.”

The economist pointed out that steep tariffs by the President Donald Trump administration, as well as restrictions on imports, were keeping Chinese vehicles out of the U.S. markets.

“When interest on auto loans is considered, Americans pay more than twice as much for cars due to U.S. protectionism,” Schiff said.

According to a report by market research firm Cox Automotive on September 10, the average transaction price for a vehicle in the U.S. in August moved back above the $50,000 mark to $50,089. The figure represented a 1.9% YoY increase when compared to August 2025.

Chinese Automakers Globally

Notably, Trump had earlier expressed that he was open to Chinese automakers entering the U.S. market, provided that the companies manufacture locally and prioritize hiring a domestic workforce instead of importing their vehicles from overseas.

Trump’s comments were met with pushback from both Democrats and Republicans, with Sen. Bernie Moreno (R-OH) and Sen. Elissa Slotkin (D-MI) warning that Chinese automakers entering the U.S. would have a significant impact on domestic auto manufacturing.

Earlier this year, Canada signed an agreement with China that will allow Chinese automakers to import 49,000 EVs into Canada, with the number potentially rising to 70,000 at a reduced tariff rate of 6.1%.

According to the European Automobile Manufacturers’ Association (ACEA) data released on September 24, BYD Co. Ltd. (OTC:BYDDY) (OTC:BYDDF) recorded a 129.4% YoY surge in sales during August to 20,845 units.

Chery recorded a 200% jump to 14,048 units, while Geely Automobile Holdings Ltd. (OTC:GELHY) (OTC:GELYF), as well as SAIC Motors, each recorded more than 20% growth during August in Europe.

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