The Trump administration is pressuring major U.S. automakers to pivot from electric vehicle production to manufacturing weapons and military supplies, according to defense officials. Senior Pentagon leaders have held direct talks with General Motors CEO Mary Barra and Ford CEO Jim Farley, urging them to repurpose workers, factories, and production systems for munitions and defense equipment—a strategic shift that could significantly impact industrial priorities and supply chains.

Defense officials ask Detroit and other manufacturers to help refill weapons stocks

The request comes at a rough time for the U.S. EV market. Electric vehicles made up 5.9% of U.S. auto sales in the first quarter of 2026. That was down from 7.6% in the first quarter of 2025 and 7.2% in the first quarter of 2024. The high point came in the third quarter of 2025, when EVs reached 10.6% of the market.

Back in the first quarter of 2025, the market hit record levels overall. Even so, Tesla’s own first-quarter peak came earlier, in the first quarter of 2023, not in 2025.

One thing though, the market today remains above first-quarter levels from 2022, and it is much stronger than it was in 2021. But that does not change the recent slowdown. The leading models are still the Tesla Model Y and Tesla Model 3. The surprise in third place is the Toyota bZ, formerly called the bZ4X.

After that come the Hyundai IONIQ 5 and the Chevrolet Equinox EV. Then the field falls away sharply. That softer demand gives the Pentagon another reason to test whether idle or underused manufacturing capacity can be redirected toward defense work.

Jim Farley backs Chinese partnerships while urging tighter rules at home

The pressure on automakers also lands in the middle of a messy debate over China. Just days after saying Chinese carmakers should be kept out of the United States, Jim Farley said Ford still wants deeper ties with Chinese automakers. On Fox News Monday, Farley said, “We should keep them out of our country.”

By Wednesday, while speaking to reporters about a reorganization at Ford, he softened that line. He said Chinese companies are changing the industry with cheaper, more advanced vehicles and that Ford benefits from working with them.

Farley said, “We value our Chinese partners, they help us stay sharp and compete in many markets around the world.” He added, “We will continue to expand these partnerships.” He also said he had “no news” to announce. Still, the links are there.

Ford has held discussions with Zhejiang Geely Holding Group about sharing manufacturing capacity in Europe. It has also talked with BYD about supplying batteries for gas-electric hybrid vehicles. In China, Ford already works with Chongqing Changan Automobile and Jiangling Motors.

Earlier this year, Farley also told Trump administration officials that if Chinese automakers want to build cars in America, they should do it through joint ventures controlled by U.S. automakers, matching the model China forced on Western car companies decades ago.

Don’t just read crypto news. Understand it. Subscribe to our newsletter. It's free.