Its not at all about competition or protecting the American auto industry. The US Government does not want Chinese companies (read: The chinese govt) to have millions of spy cameras videotaping every square inch of America. Their electric cars are outfitted with cameras much like most American companies. The difference is China corporations are basically arms of the chinese government itself. All the video footage china would ever need would be easily accessible and there's virtually nothing the US could do to prevent it. The only means of preventing it is to prohibit their vehicles from being allowed on our roads.
Before you do that. You might want to set up a time for the pool guy to come over and clean the pool again after you jump in. im sure it will make some kind of mess.
That's a legitimate risk to consider, but that's also why I keep proposing local production rather than unrestricted imports.
Require BYD or any other Chinese automaker entering the US to build locally, employ American workers, comply with US labor, safety and environmental rules, and make its corporate structure and subsidies subject to the applicable US trade and competition rules.
Then the “they're only cheap because China subsidizes exports and pays Chinese wages” hypothesis becomes much easier to test.
Brazil is already giving us an imperfect version of that experiment. Chinese companies that arrived here 15+ years ago didn't automatically succeed. Chery struggled badly in its early years but stayed, localized and eventually partnered with CAOA. JAC initially had a much stronger launch, but its passenger-car operation later shrank dramatically.
Now BYD, GWM, Chery and Changan are localizing manufacturing in Brazil and employing Brazilian workers, while competing against GM, VW, Stellantis, Toyota, Hyundai and others that also manufacture here.
If the business model really depends on permanently selling cars below cost, localization won't magically make that sustainable.
But if Chinese manufacturers can eventually make money producing locally while still offering competitive prices, then we have to consider another explanation: maybe part of the advantage actually comes from manufacturing efficiency, batteries, vertical integration, platforms, procurement and scale.
That's exactly what I want to find out.
I don't want American workers flipping burgers either. I want to know which manufacturing system can employ them while producing globally competitive cars.
Yeah, I just wish we could say that it wasn't payment back for the help.
I don't want to even have this conversation, but like-- it's pretty clear it could be interpreted as quid pro quo