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According to a company statement, almost 500,000 Mercedes vans are being assembled in the US currently.
American highways are filled with iconic European cars, built through decades of trade and trust.
But sweeping new national security measures moving through Washington could soon shake up what ends up in local showrooms.
A major new draft bill passed by a key US Senate panel is targeting foreign carmakers with heavy ties to China. Under the proposed legislation, any brand with more than 15 percent Chinese ownership could face a total ban on imports, production, and sales across the United States.
While lawmakers designed the rule around national security and industrial protection, its real-world impact hits closer to home. German luxury giant Mercedes-Benz suddenly finds itself directly in the crosshairs of Capitol Hill.
Chinese interests currently hold two sizeable stakes in the German luxury manufacturer, according to reporting from news agencies DPA and Agerpres.
Automaker BAIC owns just under 10 percent, while Geely founder Li Shufu holds nearly another 10 percent of company stock. Combined, those investments push Chinese ownership past the proposed threshold.
Political pushback
Still, the proposal faces a long path ahead. The bill needs full Senate approval before becoming law. Yet the mere possibility of a ban is already sending shockwaves through the industry.
Not everyone in Washington agrees with the aggressive cap. Republican Senator Ted Cruz, who chairs the Commerce Committee, questioned whether the 15 percent limit was specifically designed to handicap Mercedes and help American rivals like General Motors.
Cruz publicly urged colleagues to strip out the specific cap. He voiced serious concerns about whether the number was chosen fairly or crafted to favor domestic producers over long-standing foreign partners.
Massive footprint
Mercedes was quick to defend its massive economic footprint in the United States. The company operates major assembly plants in Alabama and South Carolina, supporting over 160,000 American jobs and working alongside nearly 400 dealer partners.
On top of that, executives pointed out that Chinese shareholders hold no direct seats on the supervisory board and possess zero control over day-to-day operations.
Company representatives pushed back forcefully against the draft legislation in an official statement to press outlets.
“The brand’s strong presence in the United States dates back to 1888, and with 5 million cars and vans on the road today, and more than 5 million SUVs and almost 500,000 vans assembled in the country to date, American customers have consistently demonstrated that Mercedes-Benz is one of the country’s most loved brands,” the company said.
