BYD, the Chinese Communist Party’s (CCP) major automaker, sells electric vehicles (EVs) that cost $12,000, but without a complete ban or increased tariffs on electric vehicles (EVs) made by Chinese companies, “This could be a nightmare” for the automotive industry. .
a report from detroit newsIn interviews with multiple industry insiders, the magazine found that BYD’s all-electric Seagull, which sells for just $12,000 in China and about $21,000 in Latin America, is a US vehicle that does not enjoy heavy trade protection. It details the potential impact on workers.
Currently, former President Donald Trump’s 25% tariff on Chinese-made cars is the only reason BYD and other Chinese automakers aren’t flooding the U.S. market with cheaper EVs to sell to U.S. consumers. be.
said Sam Fiorani, vice president of AutoForecast Solutions. detroit news “BYD’s entry into the U.S. market is a matter of when, not if.” As a result, detroit news “This could be a nightmare for the U.S. auto industry.”
Under immense pressure from Democrats and Republicans, President Joe Biden has imposed over 100% tariffs on Chinese-made EVs, 50% tariffs on solar cell imports, and some steel and aluminum imports from China. announced that it would impose a 25% tariff on imported lithium. Ion batteries necessary for EVs.
However, the tariffs do not affect EVs manufactured by Chinese automakers in other countries. For example, BYD plans to build a factory in Mexico that will produce inexpensive EVs. These cars can now be sold in the U.S. market with almost no customs duties.
President Trump, who has called for uniform tariffs to be imposed on all imported goods, said that Biden’s increase in tariffs on China “should be increased.” [been] To protect American autoworkers from unfair trade practices…was done a long time ago.
“We should have done this three and a half years ago,” President Trump said Wednesday.
President Trump warned in March that any attempt by Chinese automakers to use Mexico as a backdoor to sell cars tariff-free in the U.S. market would be a “disaster” for U.S. autoworkers, and said he would block such plans. I swore.
Mr. Trump said:
If you’re listening to President Xi, I say to China, you and I are friends, but President Xi knows how to deal with me. A huge monster car manufacturing factory that you are currently building in Mexico.And you think you’re going to take it and not hire Americans. And are you going to sell us a car, no? [Emphasis added]
We are going to impose a 100 percent tariff on every car that crosses this line. And if I win, I won’t be able to sell those cars.now If I’m not elected, it’s going to be a disaster for the whole thing, at least it’s going to be, it’s going to be a disaster for the country.; That would be the bare minimum. [Emphasis added]
Industry experts, auto executives, auto workers, Democrats and Republicans all agreed with Trump at the time. For example, a study by the American Manufacturing Alliance found that: was suggested “The introduction of cheap Chinese cars to the U.S. market could be an extinction-level event for the U.S. auto sector…”
One Chinese auto executive told employees this year that 2024 will see “a fierce competition between Chinese automakers that could end in a ‘bloodbath’ (or, as I like to call it, a brutal ‘knockout round’).” “It marks the beginning,” he said frankly. Against the US auto industry.
BYD has not yet entered the US market, but it is already growing around the world. For example, the Chinese automaker sold 3 million vehicles last year, with Thailand and Brazil among its biggest markets so far this year.
Currently, China has surpassed Japan to become the world’s largest exporter of automobiles, while BYD has surpassed Tesla in the United States to become the world’s largest EV seller.
John Binder is a reporter for Breitbart News. Please email jbinder@breitbart.com. Follow him on Twitter here.
