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Aside from the fears about their government and car software (whatever side you’re on, you’re probably not being convinced otherwise), Biden wants to encourage domestic production. Hard to do that when China is undercutting the costs and prices here. Just look at the collapse of the US steel industry to see similar situations.
Domestic producers seem to be actively hostile to this type of car (small, cheap) no matter who produces it. This isn’t Biden vs China, it’s domestic car companies vs their own customers and Biden is just another member of their team.