I wonder why nobody has tried to beat the Chinese companies at their own game. The whole schtick is: take a product that people like, vertically integrate and drive down costs. This is like the purest form of capitalism.
* built a lithium refinery
* produces its own battery cells
* makes its own motors and drivetrains
* makes its own car seats
* owns and operates a fast-charging network
* sells direct, bypassing dealerships
* offers insurance integrated with vehicle data
* develops its own autopilot AIExcept it's not winning on that at all. It's "winning" because Chinese EV brands are barred from selling in the US. You can't buy an Avatr if you want. It's in fact protectionist regulations that allowed Tesla to retain EV dominance in the US, in the face of Chinese competition.
A lot of Chinese EVs are much better and cheaper than the Cybertruck.
It's not that rare that Chinese products are sold below cumulative costs of Western equivalent products and services, let alone prices. Chinese(<-substitute this with appropriate East Asian nations past and future) economy just isn't coupled well with the rest of the world that USD converted cost calculations would work. This in economic theories is sometimes explained as exports of starvation and/or overproduction, but IMO that make less sense when they've been doing it at scale of multiple decades.
The craziest example of these is Chinese PCB prototyping services: as cheap as $2 per 5 pieces with $5 extra for complete assembly and $15 shipping. $5 each would be darn cheap in the rest of the world, even $50 each for the board and $150 per assembly work would not be so absurd. There's just no competing that.
I think there are a lot of different reasons:
1. A lot of those Chinese competitors are involved in extremely intense cut-throat competition, which drives a lot of innovation that benefits a lot of stakeholders except investors (IIRC the term is "involution"). The the US, the investors a almost literal kings and their returns are paramount, and they'll even throw their own country under the bus if it means their returns are higher.
2. The US (in-general) has been letting its manufacturing capabilities wither for decades, while China has been building them up. Even if you wanted to beat the Chinese companies at their own game, the skills, suppliers, and scale to do that aren't available in the US anymore.
3. Working conditions in China are atrocious and pay is lower, which really helps if you're trying to undercut on cost.