It's a touch more complicated than that, because China doesn't let their currency float, which makes Chinese products much cheaper in foreign markets, and foreign products more expensive in China, when the Chinese government allows them in.
Comment on Trump’s ‘no choice’ comment on EVs reveal partisan divide over green tech
NegativeInf@lemmy.world 6 months ago
If we were smart, we would let the cheap Chinese EVs flood the US market and drive down prices in the US using competition.
So much for the invisible hand of the market I guess. 🤷🏻♂️
Nougat@fedia.io 6 months ago
acosmichippo@lemmy.world 6 months ago
and we want to support domestic construction of EVs as well.
themurphy@lemmy.ml 6 months ago
I agree with you, but people need to stop looking at the economy as a “free market”.
Almost every single government are putting restraints on one product or another.
Yes, we want to support domestic construction. We need competition, and we don’t need to ship goods across the world as much as we do.
But the market is not free. And that’s a good thing.
Bob_Robertson_IX@lemmy.world 6 months ago
In order to do that the US government would need to heavily subsidize EVs the way the Chinese government does.
I support this… in my view the Chinese government is putting its money out there in order to get more people into an EV. The US should match their efforts.
NegativeInf@lemmy.world 6 months ago
You mean the way we previously subsidized the regular auto industry and the supporting fossil fuel industries for… 70-90 years?
WanderingVentra@lemm.ee 6 months ago
And corn, which has been horrible for health in the US. But I guess that doesn’t count.
NegativeInf@lemmy.world 6 months ago
Yep! Gotta have corn, come get your corn, high fructose time!
acosmichippo@lemmy.world 6 months ago
i’m not sure heavy subsidization would work the same way in the US. We’ve already seen EV manufacturers adjust their prices based on available tax credits, so i feel like they’d just raise prices even more as subsidies increase. in china the govt can ensure this doesn’t happen.
Petter1@lemm.ee 6 months ago
Why should US gov not be able to force prizes below a curtain threshold? They just have to vote in the gov, but they can. Not?
acosmichippo@lemmy.world 6 months ago
It’s not a matter of should or could, it’s just not something that’s going to happen. The vast majority of Americans don’t want the government directly meddling with business models to that degree.
Habahnow@sh.itjust.works 6 months ago
The reason Chinese EVs are so cheap is because China subsidizes them immensely. They’re basically selling below cost, and expecting private US companies to compete with that impossible price. As long as we allow competitors from other countries in, as well as pushing for electric vehicle usage, the prices will drop. Man companies won’t be able to sell gas cars after 2035 in many large states and countries. People would rather buy an older used gas car than a very expensive electric I bet.
NegativeInf@lemmy.world 6 months ago
I have an ancient ICE car. Like a 2001 Honda. I bought it because it was cheap and the engine good.
But we subsidize the fossil fuel industry and have historically subsidized the auto industry. Why not do it?
acosmichippo@lemmy.world 6 months ago
I mean, we are with tax refunds if they meet certain requirements like assembly in North America, etc.
NegativeInf@lemmy.world 6 months ago
Which I don’t think really any of them do yet.
But the whole situation is fucked. We should have been doing this properly 20 years ago.
fruitycoder@sh.itjust.works 6 months ago
Subsidize to include worker rights suppression to include the extreme of state sanctioned slavery.