The EU had previously investigated Chinese companies and levied tariffs according to the level of state support to neutralize market distortion. Now, EU is dropping tariffs and instead creating a cartel for the industry.
The EU had previously investigated Chinese companies and levied tariffs according to the level of state support to neutralize market distortion. Now, EU is dropping tariffs and instead creating a cartel for the industry.
Aside from the issues that the article notes, I am skeptical that this is gonna work from a business protection standpoint, if protectionism is the state’s goal.
Say the issue is that VW cannot make EVs in Europe competitive with BYD in China. Labor or environmental regulation costs drive their costs up. Say BYD can make a car for 75% of what VW can.
The EU says “okay” and sticks a price floor in the EU Customs Union at whatever VW is selling at.
Ah, now the playing field is level! Or…is it?
Yes, BYD can’t undercut VW on prices now. But it still has that cost advantage. What BYD is going to do is to spend that extra money on adding more desirable features to their car. So now, at the price floor, you’re going to have a lackluster VW model and a really spiffy BYD model. Okay, maybe VW can ride on their reputation for a bit, but at some point, if BYD is consistently putting out better cars at a given price point, that’s gonna affect consumer views.
What I expect it will do is reduce the number of people buying EVs at the lower end of the market, where VW wasn’t making an entrant, so now those consumers will probably be getting a conventional vehicle instead of an EV.
No, BYD will and is spending that money on advertising.
Tesla is still king in a lot of ways, but let’s even take any of the Korean brands, they wipe the floor with BYD when it comes to tech, range and quality.
BYD doesn’t even have 1 pedal driving. You and many here might not be experienced with EVs, but that’s a cardinal sin.
Yet you see any media on BYD, and not a peep about it? Curious is it not? Replace the name with xiaomi, as there’s always one cuck in these comments promoting them. Handles so bad, they’re making China ban flush handles. THAT’S how bad it is, they’re also prone to overheating even on their ultra models and catching fire at a scale, it’s making news. But hey, you go onto any comment section and you hear nothing about it but whole lot of anti Tesla slander.
Lucid and Rivian are the only ones chasing after Tesla tech and they’re still a decade behind looking at the recent lucid model.
Tesla gets a lot of political hate, but we shouldn’t dismiss the technological advances they made so every other brand gets to ride it out on their ancient shit (VW group).
I want a car like my 21 plate model 3, I don’t give a fuck if it’s European or American or Asian, as long as it’s not shady and not Chinese propaganda. My search continues, nothing comes close to convienience of Tesla and 91k miles in, I’ll continue running it till the wheels fall off.