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Let us assume they start dumping all their excess internationally. Do you think other countries will just allow china to flood the international market and driv
by almatabata 2y ago
Let us assume they start dumping all their excess internationally. Do you think other countries will just allow china to flood the international market and drive other countries respective auto makers out of business? Other countries will raise tariffs accordingly until they reach an equilibrium that they feel comfortable with.
- fspeech 2y agoNot everyone makes cars. Shrinking the global market shares of the ones that do will make the competitors' economy of scale worse as they withdraw from the ROW to hide behind the trade barriers.