Thank god we have a tariff to protect us from these lower cost vehicles.
What German companies will probably do in Europe is import Chinese EV designs from their partners, and rebadge them locally the same way Renault does with the Dacia Spring.
Yes, but this is just the nature of competition. If they think they couldn't compete, either in China or Europe, they would beg for Tarifs.
>What German companies will probably do in Europe is import Chinese EV designs from their partners, and rebadge them locally the same way Renault does with the Dacia Spring.
I assume you mean cars not designs of cars? That seems like the thing least useful to import.
Yes, if they want/need low costs for their cars they will build and import the budget models from China. If you have seen Chinese EV prices you would know why, they are insanely cheap, even if they are more or less equivalent to European cars of the same brand. But they don't need to rebadge, they just build the actual badges cars and ship them to Europe.
I think the one important question is how long china can compete in the race to the bottom. The lower prices are due to many factors, labor cost among those. Surely that will not be sustainable indefinitely.
Haha, China can compete in the manufacturing race to the bottom far longer than Western companies/nations can stay solvent in that race with all their unions, high wages, pensions, and worker's rights pushing their costs up.
To whit, all my mates still working in the EU automotive scene with transferable skills are trying to side hop into other industries since the wage prospects in automotive for the same jobs are getting grim now.
EU can't compete with the US on SW innovation and can't compete with China on HW cheapness and manufacturing at scale. It's being squeeze in a pincer movement at both ends and I fear we'll see more years of economic stagnation to come.
> I fear we'll see more years of economic stagnation to come.
There will never be economic stagnation in a country like Germany.
Without the massive economic benefits of large and highly productive industry, the massive social security system can not be kept afloat. At the same time any government trying to dismantle that system is commiting political suicide and in turn will inevitably destabilize the economy.
I'm not sure if you're sarcastic or not.
>There will never be economic stagnation in a country like Germany.
Why not? People were saying the same about Japan? Or you're sarcastic again?
>Without the massive economic benefits of large and highly productive industry, the massive social security system can not be kept afloat.
The social security system has seen massive cutbacks in Germany, Sweden, France, Finland, Italy, Spain, etc in the last 20 years or so precisely because the costs have gone up due to ageing population and mass immigration, while the economic output needed to fund the welfare system has relatively stagnated.
That was sarcasm.
>Why not? People were saying the same about Japan? Or you're sarcastic again?
I don't know what people have been saying about Japan. Except they are prognosticating it's decline due to an aging population for a long time. I do believe that this a problem which can be solved by some economic pain and cut backs.
>The social security system has seen massive cutbacks in Germany, Sweden, France, Finland, Italy, Spain, etc in the last 20 years or so precisely because the costs have gone up due to ageing population and mass immigration
In Germany, as a percentage of GDP, it did somewhat rise though. Absolute welfare spending has doubled over the last 20 years. The only reason it could do this is because the same is true for absolute GDP.
The GDP of Germany did massively rise over the last 20 years, clearly it isn't stagnant. If ever it stops growing, then the social security costs will rapidly outpace GDP growth, but that hasn't happened yet. At least, looking at the numbers, I see no evidence. Well, except for a very worrisome 2023.
Yes, they sell at loss in China and recoup the loss on the European market, truly amazing
I cant take that seriously with a wide open border.
Also there are a lot of guys standing in processing centers waiting for their asylum claims to be processed who would take umbrage with your definition of "wide open border", but that's another discussion.
Sure, some shareholders might - and they're the same ones who also benefit from screwing migrant laborers - but you're not one of these captains of industry who can jet off to their bunker in New Zealand when shit hits the fan.
Becoming? Like that isn't already the case?
This is a special purpose carve out to reward a voting block. The rest of us get globalism.
I'm not sure what purpose the hyperbole serves here.
https://electrek.co/2024/03/06/byd-launches-cheaper-seagull-...
Given it's selling in NL it will meet EU safety standards, but granted, that's a far cry from €10K and still very far removed from affordable / budget.
[1] https://www.beev.co/en/electric-cars/marques/byd/byd-dolphin... [2] https://ev-database.org/nl/auto/2038/Ford-Mustang-Mach-E-GT
You can gey hyundai kona starting from 37k with 65kwh battery as opposed to byd 44kwh for 30k. So more value for money.
Apples to Apples is Dacia Spring Extreme 44kwh for 23.5K with tax for same battery and features... much lower price then BYD
Hmm. Not sure I agree with you there. American cars aren’t particularly known for being high quality.
American cars are much nicer (tesla?), or have better reputation then a recent foreign company with no accountability if they decide to pack up and leave customers stranded... Or if China decides to invade taiwan and get embargoed.
The glorious free market of the US’ protectionism has nothing to do with humanitarian issues.