Why no menion of Tesla? They are building a Litium refinery in Corpus Cristi and developing their own batteries that will be built in their own US facilities. They also sell more EV’s than any other manufacture and the Model Y sells more units than any other model not only in the US but in China and worldwide.
Why is it a THREAT that anyone dominates a market? Life's eternal reality is that someone is always better, and that's mostly a good thing as it sets the benchmark for where we should aspire to be. The other reality is that dominance is seldom permanent unless there is an overwhelming natural advantage. Currently China dominates the global EV market, with today more than 50% of new car sales in China being new energy vehicles. China now makes EVs at a lesser cost than ICE vehicles. That production cost reality needs to sink in because EVs are better cars in every way, as any EV owner will tell you (and most were driving ICEvs for decades before they ever bought an EV - 5 decades in my case).
In the 23 deep red states fossil fuels are about a third of the gdp and 71% of our fossil fuel use. When the price of fossil fuels falls when people shift away, they will miss out. Shifting now is important to avoid cratering.
ICE vehicles require over 400x mining. Buying necessary goods while our diy supply comes online is normal. Moving off fossil fuels lowers fuel prices for everyone.
While I enjoy the discussion, I disagree with the conclusion. This supply side improvement scheme is doomed to fail. First of all, the argument against demand side subsidies is misplaced. China's success in EVs is not just because of supply side industrial policy but also demand side incentives such as licensing scheme. Second, even if the US builds its own battery supply chain it will likely be much more expensive than Chinese batteries due to fundamentals such as labor, energy, and logistics costs which will make the US built EVs uncompetitive in all markets outside of the US. Third, the Chinese are not going to be standing still waiting for the US to catch up. It is advancing battery technology at an astounding pace. Eg: CATL, whose LFP batteries are already substantially cheaper, has announced they will halve the price of batteries by the end of the year. The "holier than thou" declaration of cleaner battery production is also a red herring. Nobody but the US will care if the batteries are cleaner when it's double the price. The cleaner tech argument is also muted in the case of LFP technology which doesn't use nickel or cobalt. At this point I think the only winning play the US has against China is to subsidize South Korea, who are about the only ones that can remotely compete with the Chinese. But then that raises the question should the US tax payer subsidize a foreign country and it also doesn't solve the indigenous capabilities issue.
Electric grid in China is state owned and not profit driven. Therefore electricity is cheap as it can be, and people can practically drive for free. That’s incentive. The government also built out 4 million charging stations across the country, which encourages widespread adoption. So from investing in batteries research and minerals refineries more than 20 years ago, it’s a very well thought out and executed plan.
Center Right but not hackish.
Why no menion of Tesla? They are building a Litium refinery in Corpus Cristi and developing their own batteries that will be built in their own US facilities. They also sell more EV’s than any other manufacture and the Model Y sells more units than any other model not only in the US but in China and worldwide.
Why is it a THREAT that anyone dominates a market?
Life's eternal reality is that someone is always better, and that's mostly a good thing as it sets the benchmark for where we should aspire to be. The other reality is that dominance is seldom permanent unless there is an overwhelming natural advantage.
Currently China dominates the global EV market, with today more than 50% of new car sales in China being new energy vehicles. China now makes EVs at a lesser cost than ICE vehicles. That production cost reality needs to sink in because EVs are better cars in every way, as any EV owner will tell you (and most were driving ICEvs for decades before they ever bought an EV - 5 decades in my case).
In the 23 deep red states fossil fuels are about a third of the gdp and 71% of our fossil fuel use. When the price of fossil fuels falls when people shift away, they will miss out. Shifting now is important to avoid cratering.
ICE vehicles require over 400x mining. Buying necessary goods while our diy supply comes online is normal. Moving off fossil fuels lowers fuel prices for everyone.
While I enjoy the discussion, I disagree with the conclusion. This supply side improvement scheme is doomed to fail. First of all, the argument against demand side subsidies is misplaced. China's success in EVs is not just because of supply side industrial policy but also demand side incentives such as licensing scheme. Second, even if the US builds its own battery supply chain it will likely be much more expensive than Chinese batteries due to fundamentals such as labor, energy, and logistics costs which will make the US built EVs uncompetitive in all markets outside of the US. Third, the Chinese are not going to be standing still waiting for the US to catch up. It is advancing battery technology at an astounding pace. Eg: CATL, whose LFP batteries are already substantially cheaper, has announced they will halve the price of batteries by the end of the year. The "holier than thou" declaration of cleaner battery production is also a red herring. Nobody but the US will care if the batteries are cleaner when it's double the price. The cleaner tech argument is also muted in the case of LFP technology which doesn't use nickel or cobalt.
At this point I think the only winning play the US has against China is to subsidize South Korea, who are about the only ones that can remotely compete with the Chinese. But then that raises the question should the US tax payer subsidize a foreign country and it also doesn't solve the indigenous capabilities issue.
Electric grid in China is state owned and not profit driven. Therefore electricity is cheap as it can be, and people can practically drive for free. That’s incentive. The government also built out 4 million charging stations across the country, which encourages widespread adoption. So from investing in batteries research and minerals refineries more than 20 years ago, it’s a very well thought out and executed plan.