The United States has intensified its control over lithium imports from China , a move that could redefine the logistics of batteries and components essential to electric mobility and other industrial sectors.
The focus is no longer solely commercial : authorities have placed lithium and several related products under a reinforced compliance framework linked to the prevention of forced labor, opening a stage of greater uncertainty for flows arriving from the Asian giant.
What's at stake for China's lithium imports
The US Department of Homeland Security has indicated that it will expand the application of the Uyghur Forced Labor Prevention Act to more products of Chinese origin, including lithium imports , as part of a strategy to cut off the entry of goods allegedly linked to abuses in Xinjiang.
The regulations restrict the import of goods linked to human rights violations , amid accusations of detention centers and forced labor in the Uyghur Autonomous Region. Beijing rejects these accusations, adding diplomatic tension to an already sensitive trade issue.
For lithium and its derivatives, the practical result is a stricter filter upon arrival in the US: more audits, greater documentary scrutiny and a requirement for traceability of the material throughout the supply chain, from extraction to the finished cell.
Tariffs and costs: the emerging scenario
Regulatory pressure could be compounded by a tariff component: lithium-ion batteries from China are being considered as potentially subject to an 82% US tariff starting in 2026, a percentage that, if confirmed, would alter the cost structure and competitiveness of a large part of the supply chain.
In an environment where regulatory compliance already increases costs and slows down operations, the possibility of a tariff jump adds volatility to prices, contracts and delivery schedules, pushing companies to recalibrate their exposure to imports from China.
BMW and AESC: Adjustments to the battery chain
In this context, the automotive value chain is making moves. AESC, a partner of several manufacturers, has halted construction of its fuel cell plant in South Carolina and, according to industry sources, has reconsidered its supply plans to BMW from that location.
Given the lack of local capacity, one option under consideration is for BMW to meet demand with fuel cells from AESC factories in China . In the short term, this alternative could prove more cost-effective operationally, even considering potential tariffs, while a US-based supply chain is being established.
Officially, AESC maintains its commitment to the project in the United States, while avoiding providing details on specific delivery plans . The company has announced investments of approximately $1.600 billion and the creation of around 1.600 jobs, although the facility could be geared towards purposes other than the round cells designed for BMW.
The pause is due to a combination of political and market uncertainty , as well as financing difficulties. With a constantly changing landscape regarding tariffs and subsidies, several companies have slowed investments while awaiting greater regulatory and demand clarity.
BMW, for its part, is adapting its Greer/Spartanburg complex for "Neue Klasse" electric vehicles and has built a battery pack assembly center in Woodruff . The new platform will migrate to an 800V architecture and will use round cells 46 mm in diameter (120 mm high in SUVs), with a focus on higher energy density and faster charging.
The cells were co-developed with partners, but manufacturing is handled by CATL, EVE Energy, and AESC . A change of plant or supplier would entail additional revalidations and integration; industry analysts estimate that these processes could take up to 18 months, with a potential impact on production schedules.
What the sector is watching from now on
In the short term, the option of importing cells and components from China as a bridging solution remains valid, although it is conditioned by the effective application of the UFLPA and the possible introduction of new tariffs.
Companies are strengthening their compliance and traceability teams , reviewing contracts, and diversifying their suppliers to balance costs and risks, without slowing down the launch of new products.
- Scope and criteria for application of the UFLPA to lithium and by-products.
- Final definition of tariffs on batteries of Chinese origin.
- Validation and technical integration deadlines for new cells.
- Pace of investment in US production capacity
The evolution of these factors will be crucial for the sector to continue its electromobility rollout without facing major cost or timeline issues. A greater degree of dependence on Chinese supply seems inevitable while the local market consolidates.
The Chinese lithium market and battery projects in the U.S. are in a transition phase, with increased controls, potential tariffs, and industrial adjustments that will affect automakers, suppliers, and consumers awaiting more affordable and accessible electric vehicles.
