How much spare production capacity is there actually in automobiles? How flexible is the demand? Short term if the Chinese start buying a lot of German autos, that will mean there are fewer German autos going to the rest of the world allowing US automakers to sell more car to those countries with reduced availability of German autos. Better to be a Ford dealer in India with stock than a BMW dealer with no stock to sell.
This could turn out to be much like the soybeans caper. China decided to buy the Brazilian Crop instead of the US crop, so the EU who had traditionally bought the Brazilian crop bought the US crop instead.
it also depends on what type of cars the Chinese will buy -- premium, mid-range or general cars
in case of general cars, then the Japanese, Koreans, Fiat, Volkswagen, Renault-nissan have an advantage
If the Chinese start buying a lot of German high-end autos, they will ramp up -- and the fact is that American luxury autos (Lincolns and Cadillacs) are unable to compete with the Germans (Audit, BMW, Merc) or even with the English (Jaguar) or Japanese (lexus) marks
American muscle cars are in a league of their own
In the case of India as in your example, Ford and BMW don't compete for the same customer at all.