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Outside of maybe the UK, I don't think Europe is nearly as dead set on the adversarial relationship with China and you can't buy retail Chinese EVs right now in

Outside of maybe the UK, I don't think Europe is nearly as dead set on the adversarial relationship with China and you can't buy retail Chinese EVs right now in the US. The demand reduction is also a problem for Tesla. But one thing Chinese EV companies have is existing products in the lowest market segments. Tesla is giving up on a car cheaper than the 3 and I don't think that's a particularly unique Musk decision. American public companies are allergic to low margin products.

ein0p 2y ago
>> I don't think Europe is nearly as dead set on the adversarial relationship with China They will be “persuaded” with sanctions. Europe is not really a sovereign entity.
- nateglims 2y ago
  The US is only really deploying broad sanctions on technology that might have applications in military and security competition. And sanctions are proving hard to really enforce if the entities involved never use dollars. EU defense and government contractors might not have a lot of agency, but plenty of other businesses do depending on the country.
nyokodo 2y ago
> I don't think Europe is nearly as dead set on the adversarial relationship with China Market protectionism is sufficient to provide pushback on Chinese product dumping in Europe in the medium term. However, as the global order deteriorates and countries have to pick sides most of the EU is unlikely to choose to align with a Russian ally.
- nateglims 2y ago
  They've been extremely selective in their targeting of Chinese firms accused of selling weapons to Russia. And last year Macron directly said europe has no interest in backing the US's position on Taiwan. I think as the global situation deteriorates, they are likely to want to focus on situations closer to the continent. I haven't heard if they are planning on stopping BYD from opening a factory in Hungary.
  - nyokodo 2y ago
    > stopping BYD from opening a factory in Hungary Opening a factory is a different matter. If the factory contains significant capital (ie isn’t just glorified assembly) then much of the manufacturing capacity is domestic as is the labor which is a method of avoiding tariffs that host countries tend to favor. The calculus is different at that point and could only affect the imported parts or raw materials if applicable. In a pinch such manufacturing can be nationalized and repurposed.
emptyfile 2y ago
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ein0p 2y ago

>> I don't think Europe is nearly as dead set on the adversarial relationship with China They will be “persuaded” with sanctions. Europe is not really a sovereign entity.

nateglims 2y ago
The US is only really deploying broad sanctions on technology that might have applications in military and security competition. And sanctions are proving hard to really enforce if the entities involved never use dollars. EU defense and government contractors might not have a lot of agency, but plenty of other businesses do depending on the country.

nyokodo 2y ago

> I don't think Europe is nearly as dead set on the adversarial relationship with China Market protectionism is sufficient to provide pushback on Chinese product dumping in Europe in the medium term. However, as the global order deteriorates and countries have to pick sides most of the EU is unlikely to choose to align with a Russian ally.

nateglims 2y ago
They've been extremely selective in their targeting of Chinese firms accused of selling weapons to Russia. And last year Macron directly said europe has no interest in backing the US's position on Taiwan. I think as the global situation deteriorates, they are likely to want to focus on situations closer to the continent. I haven't heard if they are planning on stopping BYD from opening a factory in Hungary.
- nyokodo 2y ago
  > stopping BYD from opening a factory in Hungary Opening a factory is a different matter. If the factory contains significant capital (ie isn’t just glorified assembly) then much of the manufacturing capacity is domestic as is the labor which is a method of avoiding tariffs that host countries tend to favor. The calculus is different at that point and could only affect the imported parts or raw materials if applicable. In a pinch such manufacturing can be nationalized and repurposed.

emptyfile 2y ago

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