Why is EU imposing new tariffs on Chinese electric vehicles? | Inside Story
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- Опубликовано: 14 июн 2024
- The European Union plans to impose harsh new tariffs on Chinese-made electric vehicles. But Beijing calls it pure protectionism. Division too in the EU about the plan, with German and other carmakers highly exposed to the Chinese market. So, what's behind this dispute - and could it lead to a wider trade war?
Presenter: Tom McRae
Guests:
Andy Mok - Senior Research Fellow at the think-tank, Center for China and Globalization, Beijng.
Ferdinand Dudenhoffer - Director at Center Automotive Research, Bochum, Germany,
Vicky Pryce - Chief Economic Adviser at the Centre for Economics and Business Research, London.
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#EUTariffs #ElectricVehicles #ChinaTrade #EUNews #TradeWar #EVIndustry #ChinaEconomy #EUChinaRelations
The war against affordable cars
Yup, lmao when you get older you really see how the US plays very stingy. Nobody else fault that full on democracy and liberalism is failing your country but YOU Americans.
The war against green energy.
The war against Chinese Communist Party sponsored cars
The war against the Chinese government subsidizing the EV business to cripple the European and US car market. Don't act dumb.
!!
Simple: Because their masters USA just did 😂
👍🏻
correct . vassal need to follow agenda.
Von der Liar is an Emerica asset.
Turkey did too. Are you saying the great Sultan is a vassal of the US?
China said he has unlimited ties with russia so let him go to russia and trade why are the crying europe is just helping their own partner the USA
@@user-mh3rb6ut7n Trade goes both ways, buddy. The Europeans are not doing the Chinese a favour by trading with them, the benefit is mutual.
And why should China help the West against Russia when they have made it clear that China is next, you have to be a ret@rd to expect this
Jealousy and racism
Totally agreed also the hatred you can hear that came out from the mouth of Donald Trump and Joe Biden as well.
So china was jealous of australia when the deed the same thing to them
China's market distortion is fairly well known.
Wouldn't consumers want a better deal regardless of what country the product is from?
@tooltalk so what? Its better for the consumers. Unless you are Corp who want to make a killing from consumers
Such hypocrisy! The United States subsidizes Tesla, the steel industry, and agriculture but has the nerve to complain about China subsidizing its EV's ??? China is the biggest market for European vehicles. The reason for its decline is that China has worked hard in transforming its nation to being more sustainable by driving electric vehicles. With the EU imposing these tariffs, I hope that China will act in kind by implementing sanctions, bans, and tariffs on European products imported to China. That door swings both ways. Keep in mind that China will be just fine in trading within the BRICS+Alliance and the BRI Partnerships in addition to the trading agreements with Central Asia, Southeast Asia, Latin America, and the Carribean Islands. So, who's the loser here!
If you watch the videos about Chinese EV's you don't want them on your roads. You don't want them coming up on your rear out of control.
Chinese tariffs on European cars would bankrupt German Auto manufacturers as they get 50% of profits and sales from the #1 car market.
While so many people are driving Chinese EVs, nothing happened...if you are afraid of driving it, don't buy it... please don't mislead ppl here@@akeleven
@@akeleven Faulty logic. If quality so poor, just let it sold in market. The customer and market will make descission. US and EU goverment would not afrid of these China EVs. Why impose tariffs to keep China out of the market?🤣🤣
Ignorance here is amazing, China already has tariffs on imported cars.
Western hypocrisy
LOL, how dare they exercise their sovereignty by passing regulations in their countries.
Every car producing country has tariffs. Japan and Korea have more than the west. But bad west right?
@@user-oi9bg6fx5t Tesla flooded the EU with their cars, Any tariffs for them?
@@slhs1992 So when you can't compete you place tariffs? Wasn't the plan to get everyone into an EV? So now we have decent ev's at low prices, since EU and US can't compete they place tariffs? So they want you to have an EV but their EV, LOL. Western HYPOCRISY as USUAL!
@@crazycowboy213 They are manufactured in Germany. In Thailand and many other countries, tariffs of up to 300% are imposed on imported cars depending on the engine size.
If schools taught their students about every heinous atrocity the US and West has committed abroad, the history books would be too heavy for anyone to carry.
“The only thing worse than a liar is a liar that's also a hypocrite!”
― Tennessee Williams ----
Pseudo-intellectual mumble jumble right here. Can we not pretend that anyone's hands are clean? This is the kind of junk that non-thinking people gravitates towards.
@@Jayjs20some hands are dirtier than others.
No one suggested that other countries' conscious is clean, but the quote above speaks of the volume of atttrocities and truly the west collectively is way advanced in that particular area, you just look up the expansionist wars, you don't need to be a genius to figure it out @@Jayjs20
And Islam
The Imperial sanctions on the best Chinese cars ! they can't compete.
Answer to save you time : because they can't compete.
Yeah, because that troublesome thing called safety just gets in the way.
@@slhs1992Chinese cars far safer and better in every way. Sucks that the west can’t compete with the mighty dragon
@@slhs1992 Can't compete stop crying, your hypocrisy will not help you, the Brics are coming :)
@@slhs1992 safety standards exists, vehicles are sent to be certified by an inspector else they don’t get exported. Not get sanctioned you dumdum
the mighty dragon 😂 yall like 5ft tall and you got the smallest dicks out of all the races
the EU is an american vassal bloc lmao
correct . vassal need to follow agenda.
Von der Liar is an Emerica asset.
Wan da liar is american
it always has been
BRICS is a Chinese vassal bloc lmao.
You obviously belive only what your eyes can see.... lmao
By their logic, they need to put tariffs on everything from US which include the Tesla from US or China.
or just ban Chinese goods, just like China banned foreign battery makers in "China's local EV market since 2016 .
@@tooltalk This seems like a complete lie. The west was not really even betting on EV. When did they even have foreign battery maker. The only one I can remember was LG. Tesla was the only real successful EV brand. Even Tesla was not doing that well because of production problem until the Shanghai factory opened.
@@tooltalkthat's false, check up your propaganda
@@flynjack4304 oh, angry panda.
Tesla is expensive and not a danger for the EU car market. Are you ok? No Chinese junk will EVER be allowed into the EU and if Tesla gets cheaper the EU tarrifs will be slapped on that too! EU already been in trade wars vs USA in 2002 and 2017/18. No big deal for the EU!
Car makers: We want to sell expensive electric cars for maximum profit.
Governments : We want all our citizens to own electric cars.
Car makers : China is providing affordable cars that we can't compete with so we need the government to stop that.
Government : We need to protect the car makers in order for them to make maximum profits so we are going to stop affordable cars from coming into the country.
Car makers : The majority of people aren't buying electric cars!!!
Governments : The majority of people aren't buying electric cars!!!
Two sets of ignorant people singing the same tune.
Can you please provide the reference to the EU car makers who officially stated "China is providing affordable cars that we can't compete with so we need the government to stop that". Thank you in advance.
And please integrate somehow in your story the point of unemployment, because you know already the transition from combustion engines to EVs will result in a certain number of people losing their jobs and if China would be allowed to export without any restriction the long term expected end result will be zero production/zero employment in the EU, all production/employment in China. Long term does mean about 10 years because at that time the sales of combustion engines will be stopped according already taken EU decision.
@@friedhelmschroter8124
The point I'm trying to make in my statement that admittedly is riddled with conjecture because I am not personally in the minds of any of these automakers is that they should have concentrated a bit more on designing affordable electric vehicles that everyone could benefit from, even the people not earning six figure salaries. In doing so they would now not be having to play catch up.
I personally would have probably invested in an electric vehicle already if it had been available in my country at an affordable price is at least comparable to a standard ICE.
Instead of trying to go smaller and more efficient a lot of these manufacturers have gone bigger and heavier especially in the US.
I'm aware that there are some markets that are exceptions to this and I'm not saying that this is how it is globally.
Western manufacturers just used to over charging customers..
Citizens have the right to affordable goods, related bodies should be against these tariffs
Exactly that why the have the highest in gap between rich and poor, rich get richer and poor get step down.
Are you willing to work for less than 50 cents a hour for long hours in China to produce these cheap cars and lose your European labour rights. There is a reason these Chinese cars are cheap.
@@endlessendless2391and the higher price being charged will be sent to the workers who manufactured the cars? 1d10t
@@endlessendless2391 Also doesn't help that the central government heavily subsidises car makers.
@@endlessendless2391 You are stupid. I think in China now is at least $5 per hour which equal about 30 Yuan per hour. Its still cheaper than US which at least $25 per hour for the car assembly worker.
to protect polluting german car makers…..
European hate cheap EVs I guess?
It seems that the co2 propaganda abruptly ended.
@@csuporj..EV is cool, Ice is hot and contributes to global warming.
@@liongjiahwong5478 Then why is the EU putting a 38% tax on all affordable EV-s?
just illegally subsidized EVs by the CCP.
@philippcer. No, America commanded Europe to dislike Chinese EVs. The thing is, America will throw away the EU when they're no longer useful idiots.
Bcz it is free trade as long is eurkpe wins but as soon as we loose we use force to win hajahah
USA Also
Chinese can export them to developing world. Let Europeans pay double for the same car.
Yes
Good luck selling EVs in developing world without full electrification, much less paved roads.
@@tooltalk please travel more.
@@tooltalkwhat do you think a developing world is?
That’s true here in Brazil. Our grid cannot support widespread electric car usage.
It's all trade jealousy can't cope with the competition from Chinese manufacturers. Protecting by tariff local products.
Sure, everyone knows that China has one of the most protective market in the world.
I heard TSMC is overproducing so much microchips that Taiwan can't possibly consume it all. Someone should look into that.
And you have right to tariff and refuse chips made in Taiwan if you could prove that TSMC's business hurts your local chip-making business.
@@tooltalk For small countries, it is easier to just force technology transfer either with treaties like the 1986 Semiconductor Agreement or luring their industries over with money that their home country cannot match like with CHIPS Act.
@@voidvector small countries with small buying power mean jack. They don't get to demand tech transfer and doesn't bode well with their WTO obligation -- only bullies like China gets away with it.
I understand @voidvector is commenting on how he thinks the world is working and has not at all understood, that TSMC is producing for all large companies in the (western) world with Taiwan's consumption being negligible (not really existing) !?
And @voidvector seems also not be aware that just TSMC is setting up 2 new factories, one in US (plans do exist for 2 additional) another one in Europe and Intel doing similar with setting up several factories in US and one in Europe. Overproduction??? Western production is not running on USSR 5 year plans, but the companies have to prepare in advance for the demand they expect to come up and Semiconductor demand is basically increasing continuously. If I understood correctly global money spending on Semiconductors is higher than global money spending on oil!
I previously owned a Mercedes C350e Hybrid car, but switched to a BYD Seal. I can tell the BYD is of better quality then the Mercedes and more confortable to drive.. everything just works flawlessly, while the mercedes kept having new issues all the time. Besides, the range of the mercedes was 20 km.. the one of the BYD 650 km.
Great, I'm looking to buy BYD too
Lmao you are either high or have no clue what a good vehicle is.
The BYD seal has so many axle fail videos.
Mercedes is luxury BYD is dollar store
I would say German companies have zero incentives to produce affordable cars. Even Volkswagen brand. All european brands follow this pattern: the raw version (without options) is a little bit expensive, every add-on you want more is noticeably making it more expensive. The full-option car version is super expensive.
@@oceanwave4502 totally agree. Tesla does the same. Was first thinking of buying a Tesla becasue the price that was advertised was about the same as the BYD. But then i realized that if i added all the features the BYD included in the price for the cheapest model, i would end up paying for the cheapest model of the tesla more then the most expensive model of the BYD. Tesla even charges for choosing another exteriour or seat color than black :) BYD doesn't offer any upgrades since everythng is included. Even a sim card with 2 gb per month free internet for 2 years.
🙌@@ciybersal3499
regarding the sanctions... They might be in the interest of the German and French car industry, but not in the interest for the entire european population they are supposed to represent.
this is modern colonialism their is no boarder for trades as much as you have the capital you can do everthing
Chinese cars have horrible safety ratings and the highest levels of battery fires
@@abduredegi4 racist
European Eunion is a joke, okay how will it affect other EU members? Explain? Does Greece, Netherlands, Belgium etc have car industry? No. EU population will get good and affordable cars, which will also help in green transition. How will it affect EU badly? I don't understand. It's all EU leaders dancing for US tunes.
Guys in EU think, think, think don't believe everything that shows up on news, analysis is important
@@abduredegi4exactly that's how US is controlling EU
You cant stop China.
Yes you can
Stop China to include/invade Taiwan?
Stop China to become the economic Asian hegemon?
Stop China to become GDP-wise No 1?
Stop China to become the global hegemon?
My thinking on these 4 different points are as follows:
Yes, the West cannot stop China to include/invade Taiwan, yet the response/cost on China will be extremely heavy.
No, China will become the economic Asian hegemon (or is it already), yet if situation worsens the West will strengthen efforts to support not any more China, but other countries which will strongly weaken China's position.
??? I don't know, as the further development strongly depends on how hostile US thinks it needs to act on China.
Yes, there is no chance for China to become the global hegemon as US acts in some kind of unity with Europe and even the strongly developed democracies in Asia like Japan/South Korea/Taiwan and some other english speaking countries.
China need to put 100% tariff of all western vehicles
China needs to ban burberry, LV, prada, who needs those overpriced shts to suck chinese wealth anyway
WHY? BECAUSE THE WEST CANT HANDLE COMPETITION.
Yep, the industry insiders explain that's why China banned foreign battery makers in China's local market since 2016.
Do following exercise:
Increase Chinese salary and decrease Chinese working time to Western level.
Accordingly decrease Western salary and increase Western working time to Chinese level.
Do you think China could handle competition under these reversed conditions?
@@friedhelmschroter8124, boy are you brainwashed, do some research.
@@friedhelmschroter8124 well guess who's swallowed all the west's propaganda, do some research.
So why not an increase of tarrif from food produced in countries where farmers are sub by their goverments?
The EU agricultural market is very much regulated and protected (this was the first main objective at the start of the EU). And here favorable conditions in countries like Argentina, Brazil, but also US are sufficient because they result in extremely low production cost which on free trade would immediately cause all EU farmers to go bancrupt, because their cost of production is much higher and be it just from tax applied in the EU on Diesel for Farmers. There is no increase on tariffs planned, yet when the Ukraine will join in some time in future the EU as intended then the EU need to strongly reform in advance all the agricultural market, as also the Ukraine has such favorable conditions as Argentina etc.
rubbish excuss to impose tariffs
So much for free trade and letting the market decide a fair price. Lol
Solition is stop buying european brands and american brans...
Fun fact: China is also subsidizing western EV companies, such as Tesla. It's not just Chinese EV manufactures.
which is why all those Western EV OEMs would have to pay tariff's.
If you believe Chinese subsidized their EV then subsidize yours for the sake of better environment.
Why not? Weird!
All people do formally speak about subsidizing (formally this may be a reason accepted by WTO), yet I think the real reason is strongly different salary levels, because different salary levels are disturbing fair competition permanently while subsidizing is rather a 1 time effect.
In Europe social spending is high and this means seeing the unexpected high cost the Ukraine war causes all European governments are short of money. The same applies to US as well as China where debt levels climb in unhealthy regions. People living better than the earnings of their countries would allow (this means living on debt) can be sustained for a limited period of time, yet when done over a long period of time the danger of a catastrophic debt reduction increases or the debt reduction is done permanently for example by zero interest policy resulting in people not saving for retirement and other effects reducing growth. And in my understanding some subsidizing is done in Europe for example on the charging network, but also by reducing the buying cost allowing the car manufacturers to produce more at a higher margin level or not really subsidizing Norway applies a very high tax on gazoline/diesel favorizing the purchase of electric vehicles when taking into accout the rather low cost of electricity in Norway.
The funny thing is, even with tarrifs it's still in the affordable range then home grown vehicles. Not to mention the millage that BYD offers can write of the extra initial purchasing cost. USA/EU cars are a scam.
So wait a second. You’re telling me that the Chinese taxpayers are willing to pay part of the price of my new car I buy here in Europe and thats something the EU is trying to stop?!?!?!?!
Sure, China is going to subsidize your new car and come back to recoup that cost later after your local industry is gone.
@@tooltalk The EU will not have a local car industry without the Chinese market. Anyway it is not the reason EU and US are implementing illegal tariffs. Countries in the EU provide/provided up to $12,000 in purchase subsidies, US $9,000 and in China it was only up to $3,000 per vehicle. EU and US vehicles are not completive and their subsidies failed, now they want to recoup their lose by taking money from Chinese factories.
@@nameberry220 We will see about that. Not denying the German automakers' "overdependence" on China, but they said the same thing about Hyunda/Kia who had about 10% of China's auto market and 90% of their sales after they were forced out/shadow-banned of China after THAAD in 2017 -- now #3 in global auto sales.
The EU/US 's counter measures appropriate responses for China's illegal NEV policies since 2016 under MIC2025 -- the EU also filed a WTO complaint (DS549) in 2018 to address some of the issues arising from China's illegal market practices.
And let's not forget, the US/EU are net buyers of Chinese goods, as evident from China's huge trade surpluses with both markets. It doesn't take a genius to figure who's going to lose in a trade war.
Can you only listen or can you also think by yourself a minimum?
So assume you @matteofalduto766 are employed at a European car manufacturer. This manufacturer needs 25.000€ to cope all its cost including your salary. Now you know the Chinese is not working on your salary but is used to I guess to work at 1/4 or 1/3 of your salary and this results in that the Chinese manufacturer needs for the same car you are producing just 21.000€. As a customer buing a new car I will tell you @matteofalduto766, you are a relly nice guy, but why should I spend on you 4.000€ more? What do you think @matteofalduto766 such decision in my side in a "free trade" market will have on you in not so distant future? Do you really think your employer the car manufacturer that needs 25.000€ will continue to employ you, because you are such a nice guy?
And how angry will you @matteofalduto766 be on EU, if they are fixing that the Chinese company just increasing its production has to pay as import customs duty 4.000€?
Is it good, that the EU tries to avoid unemployment on you @matteofalduto766?
Please think first before you rely on what you believe somebody is telling you to avoid such completely beside the point comment as you have given where you pretend not being able to understand what the EU is working for.
When their car can’t compete with Chinese car , that is why
Germany subsidize Volkswagen and they sell in Chinese market for 1/3 of EU price. How is that not the same?
Europe is lapdogs of America so they r force to buy expensive teslas
No one in the history of all of humanity has ever been forced to buy an expensive tesla. Man, something's wrong with this youtube channel and the audience they draw in.
Tesla's look ugly and their are better performing EVs.
Tesla is a very good car. I will give the US that. But slapping tariff is not right. It is in no way benefit the ppl but only a few ceos financials to look good. 😢
And you are happy to buy cheap Chinese. Where is the problem?
For your correct understanding of the whole situation:
Europe plans 17.1% added import customs on BYD, 20% on Geely and 38.1% on SAIC.
And BYD plans to set-up a factory inside the EU which should make this discussion for BYD obsolete. Anyhow, it is expected that now the EU and China will discuss the problem more in detail, after this week the German economy/trade minister has visited China and the final outcome of these talks is not clear yet as there are a conflicting opinions and also geostrategy may play a role.
Tesla has already set-up its EU production facility in Germany. This means by buying expensive Tesla's the EU economy is supported as it primarily should be to support the jobs in each car producing country/trading zone independent of the car manufacturer origin.
China should do the same to impose high tariff on EU cars too .
China is not doing that cuz that will hurt china's ally Germany which directly plays into the hands of France and Von Deleyne (these two started the EU EV car probe at the beginning and can get the most from China Germany conflicts). So instead, China is planning to increasing tariff on the French export such as pork and wine (and give wine import to Australia which is happening this week).
Ideally it would be best if China could find an item where low EU price do lead to market success in China (airplanes would be such example, yet I am not sure China is ready to start its own production).
And the answer of @dahaixing2376 shows the situation is much more complex than normal people can understand (my thinking is in agreement with the details he presents).
If the negotiation that have already been basically agreed to do not lead to a mutually agreed solution than retaliation from China is OK/normal (and I hope China was not too fast to prepare/act on the retaliation as according @dahaixing2376 China may have already started towards Australia as preparation last week).
Related to WTO I think it may be necessary to keep some rules, yet I am not familiar on these.
So Tesla can manufacture and sell cars to the Chinese and for years, the Chinese market has been open to American manufacturers, but the Chinese can’t sell cars in America? Make it make sense!
Tesla got even the exception that they are not required to arrange a joint venture with a Chinese company, this means only Tesla employees (not other Chinese) will get details on Tesla's processes.
The large difference is Tesla does produce in US, China and Germany. The Chinese have up to now only factories in China. I think BYD is in the process to set up a factory in Mexico, yet even though Mexiko is a free trading partner to US Biden's decision does include production in Mexiko/not allows any Chinese import produced in Mexiko).
BYD also plans a factory inside the EU (in Hungary) and up to now I have not heard any negative comment by the EU on this.
For me the very harsh US decisions do make only sense when I take into account geopolitics, where US has drastically downgraded China from intial upgrade long time ago in 1971 to positive to at least negative if not even hostile within the last 5 to 10 years.
On a country classified hostile US does act very harsh and this applies especially to China which will become the Asian hegemon on economy (if it is not already) and targets to replace US as the country with the largest GDP and last but not least questions US position as global hegemon and does have (theoretically, this means without US counteraction) at least the capability to become the new global hegemon in long term simply by its huge population a incredible effort on education.
Tesla is the king of subsidies and i see no one complaining
All the US brands are being boycotted even including the cars. The European countries should be boycotted to.
Ok then first boycott RUclips
Boycott european borders too. 😂
Because they would decimate the European market! It’s like they don’t want to let the best athlete compete in the Olympics because he will win the gold medal!
So in this world 🌍, the West together US thinks every good thing must come from them right??😢
If your thinking would be correct, why did US allow Taiwan-China a 90% dominance in the supply of advanced Semiconductors?
As far as I see it you have for the time being to clearly separate US which has mainly geostrategic problems with China that let US-mood which turned to positive on China in 1971 to drastically revise its mood to at least negative, I think you can say even hostile. The EU has no extensive geostrategic interest as the US (has therefore a strong tendency to follow US for simplicity), but is mainly active/concentrating on trade.
As for goods the US negative/hostile mood results in harsh decisions with the intention to harm China, to contain China, to hinder China's future progress strongly. This can be seen in the denial on access to advanced Semiconductor production equipment and I am not sure in how far Chinese consumer companies can still access TSMC. This continued with the blocking of Chinese Solar Cells because there are companies who want to produce in US yet cannot compete on the price point and the strict blocking of any Chinese electric cars to enter US which is feared to make at least part, ultimately perhaps all US workers in the automotive industry obsolete, this means they would lose their job.
In contrast to US Europe is rather interested to continue working with China on a win-win base. There is no intent to keep the remaining small European Solar Cell production alive, neither on permanent subsidy nor on putting tariffs that would increase the cost of Solar Cells and slow down the EU's transformation to green energy. On the electric cars however there are a few million people in the EU making their living from it and the EU has not interest too much of these people to lose their job. So the EU does want to apply on BYD an 17.1%, on Geely a 20% and on SAIC a 38.1% tariff which I understand is so that that the cost of European car manufacturers offer and these 3 Chinese car manufacturers offer is roughly on same level, this means competition is mainly on technical performance, not on price. I think the EU will also not take any action on BYD's plan to set-up a factory in Hungary. so Chinese cars produced in Europe can fully compete. Yet you should understand that US limiting China's access to advanced Semiconductor equipment did need for THE MAJOR part, the lithography EU/dutch support, as these machines at the edge what humans can do currently are coordinated and assembled using parts of many countries in The Netherlands. The US only ask politely to support their dicision and there was no voice that said anything against this polite push as European media to build up since long time a negative mood on China. This negative mood has not yet arrived at the negative/hostile status of the US, but the push towards negative is permanently ongoing and strongly fired by the situation around Taiwan, where quite aggressive Chinese behavior is reported continuously.
So the EU has clearly different interest than US, but NATO's/EU's dependence on US support to fight Russia via Ukraine and the EU's need for atomic deterrence against Russia are 2 strong points in favor of US, making EU intention for a strongly different position difficult. In this sense geopolitic does strongly influence trade, especially strong in US, yet the EU cannot deviate too strongly, especially when China continues aggressive behavior.
You may know on the Iran atomic bomb issue Europe could convince US for a short time to a solution it considered good, yet US revised its position making the agreement to a certain extent obsolete and I am not sure on US actual thinking because Israel obviously did not get US allowance to act strongly on Iran after Iran retaliated Israels bombing of their embassy or consulate by some 300 low level drones etc. not causing any real harm in Israel and obviously details were intentionally leaked indirectly in advance by Iran to US.
Fun Fact:
Republican Capitalism caused GM to demand $49.5 BILLION from the United States government. With their advanced technology, marketing and manufacting and of course, Strict Capitalist approach . . . GM grifting the Government & Americans.
$49,500,000,000.00
double standards, hypocrisy, and desperate.
Chinese EV car maker stocks actually rise after the EU tariff. That is because 38% or even 48% have relatively small impact to Chinese EV cars, which have very good quality and price ratio. With this tariff uncertainty out of the way, Chinese EV car makers can start exporting cars to EU more aggressively. It is actually good for Chinese EV car makers because now they can focus in competing in "premium price" car sector. All they need to do is load the existing EV cars with MORE FREATURES to justify the premium price.
For EU car makers, it is also good news. It gives them some breathing room.
Win-Win Situation.
Long term, Chinese EV car makers will sell EV cars from their own factories in EU. And most likely, EU car makers like BMW and Benz will "outsource" their EV car process to Chinese EV car factories in EU. This deepens the economic cooperation between China and EU.
Of course, China will put up some tariff on EU products as retalization. But it will mostly just slap on the wrist.
Simple answer: European auto makers could not compete with Chinese auto makers. And the quality of Chinese autos is good enough to compete with European autos.😅
US did first, so it's minions in EU follow😂
China has been at it since 2016 -- the EU already filed a WTO complaint against China's unfair NEV regulation (DS549) in 2018.
If EU would be a minion of US it would apply SAME or at least quite similar as US. But the EU reaction is completely different from the US in 2 key aspects, as 1) tariffs become immediately valid (US) while EU announced their intention as will to be impemented if I understood correctly only in November yet with tariffs becoming valid starting next month. This leaves now several months for both China and EU to discuss this matter, understand each others position and in best case agree to a mutually agreed solution on the real problem. And the start point for the discussion was already set by the Germany minister for economy/trade having just this week visited China, which according news resulted in China contacting the EU and agreeing first items how the disucssion should work. 2) The 2nd major difference is US applied a prohibitively high 100% AND included even Chinese production in its free trading partner Mexiko while the EU considers 17.1% on BYD, 20% on Geely and 38.1% on SAIC (I understand the differences resulting out of some comparison between prices asked in China and prices asked in the EU). And no comment was yet made on BYD's intention to set-up a factory inside the EU for which Xi Jinping on his recent visit to Europe spent also time in Hungary.
For military you can consider European states to be minions/vasalls of US, yet for economy the EU has a strong life on its own and the usually later date of EU action is rather associated the the very complex EU processes where not only the EU, but also 27 states need to agree/need to be informed, even though the EU parliament and the powerful commissoners try to expand the EU activity/decision capability.
So your interpretation on US first, EU follows some time later is not really correct.
If Elon Musk wants to sell more cars he is able to raise import tariffs on chinese EV's in USA and EU. Who would have thought corporations could control governments like that. I wonder how they do it.
That's why Elon Musk became the richest man in America again. Tariff.
Now tell me this why is the Chinese government allowing him to sell in China? I done get the Chinese government sometimes. They hate their economy to strive or what.
Every country should impose 110% to every imported product from other countries
😂😂😂...which country? Signed the agreement to allow free trade. In what year? And the name of the person who signed it. I hope is not China. 😅😅😅
I agree 100% with the guests, especially the guy from Germany.
USA gives subsidies to us electric automakers too and more money !
The tariffs are making the EVs unaffordable. Carbon emission reduction is out of the window. Maybe good for protection of the automobile and oil industries but everyone on earth suffers from the global warming and climate change. 😭😭😭
"Oh lets put tarrifs on chinese cars because we dont want out citizens paying less for cars'
Because they know they will LOSE...
European products are Expensive..since they are legacy carnakers, they cannot bring down standards or pricing too low..
Chinese carmakers are new players, with lower prices, and can go from wholesale low to high quality/functionality to match consumers wants..
That will mean..in time..Chinese EVs will dominate the market..while Europe EVs is merely going to sell to a niche audience.
Simple answer, because their Boss, US said so...
Like Russia the Eu, US, G7 etc. countries are now creating a legal precedence where countries that are not aligned with these nations can and will steal the assets / money off of unaligned countries. So if you're a BRICS country take any assets / money / precious minerals etc. out of EU, US G7 countries as it has been targeted to be used by the EU, US, UK, G7 countries for their own purposes.
BOYCOTT also p&g lu Unilever Pepsi porduct
This is embarrassing for EU and north America
actually 100% tariff on cars is too small. German car in China are sold at 400-500% more expensive than usual prices. Therefore to be fair , it must be at least 500% tariff to 5000%
It's too late to impose the tariff to China electric vehicles. The West would impose the tariff a long time ago.
Chinese EV overcapacity endangers EU and American automotive industry.
Why would you mention elon and tesla? They have a factory in the eu and he was in china not for marketing but to enable full self driving for tesla cars in china.
Knowledge based ensible discussion. This is what should be on the program of a reliable and respectable media.
BYD sells its EV cars at much higher prices in EU than inside China. And still they are as competitive as their EU competitors.
So how does Chinese subsidy affects EU or USA?
If China impose tariffs on western cars, I bet it will be far worst for the western manufacturers. China could reduce prices, pay the rises tariffs and still make more profit than European manufacturers.
Taking away the consumers. Choices cant compete. Make all excuses to ban Chinese car
The way EU Politiker manage its relationships unter the full control of USA is really funny. Logically said, by this account EU will lose not only its interests but also credibility and its pants also 😂
EXCELLENT PROGRAM, EXCELLENT MODERATION, EXCELLENT CHOICE OF GUEST !
The companies in the EU should lobby gov to subsidize them instead of lobbying gov to tax the competition more. WTF 🙄
It is a relentless ecnomic war
To cover up all the mistakes they made after so many years of neglect.
That grandma is lying through her false teeth. Wondering if she reflect that whenever she see her grandkids knowing she did not make an honest living.
"Undercapacity?"
Dieing moves haha. The garden is withering
I think nobody forced Europe and USA to not shield their manufacturing sector.fair competition is needed globally.
Domestic market can not be "donated" to foreigner businesses, and government always are partner with domestic businesses, so "protectionism" is part of "competition".
Economic investigator Frank G Melbourne Australia is following this informative content cheers Frank 😊
Strongly recommend Nikki Gordon Bloomfield of Transport Evolved on any EV topic
We have to understand every country has the rights to protect it market and company who pays it tax, just a question would you allowed any business to dump cheap and undervalue products in the name of WTO? Would China accept that? Let broaden our perspective on this matter.
Why are they making it sound like a U.S. issue? European companies make EV vehicles that will be affected by the dumping.
If European car makers are making cars in China and exporting it to Europe and makes money, does that mean the Chinese government is subsidizing the European car makers too?
You can ask this question, but with which target?
When the EU looked into the prices of BYD, Geely and SAIC the target was inofficially can European production compete on similar price level, the formal WTO formulation was does China subsidize the cost at which these 3 manufacturer do offer in Europe compared to China? The real target however was to protect European workers not to lose their job on price differences.
That’s the hype - no more carbon tax but tax on green energy 😂😂😂
China should also imposible tariffs on European and American cars. China is the biggest market in the world. So if they impose tariffs China should do the same.
Does Andy Mok work for the CCP? What does Germany’s government sport car market percentage have to do with China’s overcapacity? He just drops it and then says, “That debunks that theory.” 🤷♂️
Western car buyers are gaining momentum is preferring Chinese E.V
So profit before climate justice? If they cared about the environment they’d want as many people as possible to migrate to EV.
Wasnt the EU complaining a few months ago that the US was subsidising and causing companies to leave Europe?
Correct, but in my understanding some others added the information, but also the EU (or the 27 countries forming the EU) do subsidize companies setting up a factory in their area in similar amount as US.
Such kind of subsidising can however not reacted on (there is no global agreement how to handle/act on it), while the subsidising of trade/product sales cost can be reacted on I assume according WTO rules by tariffs.
Consumers pay more!
CN EVs COs should not sell as cheap into the WEST as this will allow them to exact indirect taxes on their people by way of tariffs. People in the WEST will jump up against direct taxes thus they go indirect picking on CN goods which are cheaper on the pretext of protecting their jobs. The WEST could have granted subsidies to their EV COs but did not as most of them technically bankrupt nations. CN EVs are of high quality thus should sell if pitched price wise close to theirs.
Everybody does tariffs and subsidies when it comes to automobiles. This is just being dramatized because it's China vs Europe.
Cause they want us all to depend on them like always
China can count very well. Over capacity is not the issue !
It’s the Low economic operating cost not low cost labour .
Is it not completely unimportant what the real reason is?
The target of tariffs is to protect local workers not to lose their job and if the reason for this is i) China subsidizes so many companies that they can produce 2 or 3 times what is at that time sold globally (happened to my understanding in the Solar Cell industry when China replaced Germany as the major global producer) or ii) China subsidizes factory set-up and other items so that this factory is able to offer very low price in export or iii) the Chinese labor cost is a lot lower and also China's control of the major cost element, the battery pack, does allow some kind of subsidizing to push up the export quantity.
In case of EV in my understanding nobody has claimed overcapacity, but the formal WTO reason is China subsidizes and in my internal thinking it is the combination of low labor cost and control on the cost of battery packs.
6:30 I disagree, it's totally rational to the US 🤣🤣🤣
I'm still confused, does this tariff also applies to models produced inside the EU, like in the new BYD Hungary factory?
No, here shortly called tariff is actually "import customs duty".
But US is different, because their 100% does apply to my understanding also on the cars BYD wants to produce in their Mexican factory already under construction.
EU and US should be subsiding EU and US EV cars to complete against Chinese EV, instead of funding wars!!!
Not good, because subsidizing means the people in that country do enjoy a life style above their income, do live partly on debt.
The better solutions would be a) smaller Chinese companies simply increase their price /(sell less but at higher margin) and b) larger Chinese companies do set-up their production facility in US and EU (do compete on salary levels being at least same on the production - the solution that US and Japan agreed to).
I would imagine EU to agree to such solution, yet US may act intentionally hostile on China, this means will have no interest on any mutually agreed solution, but prefers to harm China at any possibility one could at least argue this is to the advantage of the US.
And US is actually subsidizing yet other production. this means living to a quite considerable part on debt.
Think for consumers also who want cheap evs
If imposing tariffs is meant to provide Western car manufacturers time to catch up I’m afraid all their efforts will be obsolete as 🇨🇳 will innovate further with more enhancements in the interim. Better to collaborate and encourage 🇨🇳 EV manufacturers to set up plants in the West to drive local competition for lowering prices and support climate change policies.
Imposing tariffs is one very firm way to encourage Chinese EV manufacturers to set up plants locally, or don't you think so (tariffs are only valid for import).
Imposing tariffs is meant to avoid bancruptcies of Western car manufacturers!
Not sure how you mean collaboration and competition for market share can work?
(The Chinese solution to this was, if you want to set-up a factory in China you need to have a 50% Chinese joint-venture company, but in case of recent Tesla they granted Tesla 100% ownership, because Tesla was not willing to open its technology to a Chinese joint-venture.
At least at this time innovation is not the real problem, because there are Western companies like Toshiba, Samsung and LG and newcomers that are strong. The problem is the cost, because it is close to impossible to afford to produce outside China and even when producing inside China, China also controls quite a bunch of the battery raw material processing which prinicipally does allow China some control in its favor.
Nah its racism pure and simple. Dress as national security bs🙄🙄
Very good
Overcapacity is another of saying we have no capacity to compete!
Is not high tariffs, high price and high profit?😅😂😮
Because they can’t handle the competition and make no sense lately in their foreign policy settings….just bizarre.
American govt gives subsidies to Tesla, the chip industry, etc. America can do this but not China or any other country?
If any US subsidies to Tesla (I have no information/confirmation on this), which countries employees did these subsidies hurt? (in my understanding none, because Tesla was the first starter having no real competition)
The same question for the chip industry. Here we are speaking only about the most advanced Chips and today's main manufacturer is TSMC. Who will get the subsidies? Intel and TSMC! Does TSMC get harmed by this? Yes you can say so (I do expect their 90% share will reduce, but their turnover will increase). But you can also say the West has accepted TSMC to be the 90% supplier while Intel is the 10% supplier. And the West does not really harm TSMC, but hands over subsidies to establish local factories, because if China would include/invade Taiwan then supply to the West would be 0. US thinking a little different, because US is not willing to give military production to TSMC, this means they are somehow favorizing Intel.
China share on the most advanced Semiconductors is today 0% and the subsidies do not change anything on this as US has imposed a block to sell equipment for the most advanced Semiconductors to China.
For sure China can and is subsidizing also the development and production set-up of not yet existing/completely new technologies/products (see China's Space activity) and if these products do not compete with any Western one nobody will complain.