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>Polestar is done in the U.S. market. Its sister brand Volvo, owned by the same Chinese parent company, was spared. No one has explained why. The U.S. Federal G
by fsckboy 3mo ago
>Polestar is done in the U.S. market. Its sister brand Volvo, owned by the same Chinese parent company, was spared. No one has explained why. The U.S. Federal Government is meddling with the automotive industry, the free market, and capitalism.
I'm not saying "trust the government", not at all. But meddling in China trade is absolutely not meddling with the free market.
- DangitBobby 3mo agoHow is preventing a Chinese brand from selling here not meddling in the free market?
- AnthonyMouse 3mo ago"Free market" implies regulators aren't picking winners and losers etc. If China subsidizes their export industry to make manufacturing in other countries uncompetitive then it's already not a free market. Ideally what you would want is to get China to stop doing that, but now propose a mechanism to get them to.
- decimalenough 3mo agoHave you seen Polestar's pricing? They're very much positioned as the premium EV option and their pricing is pretty much the opposite of dumping.
- AnthonyMouse 3mo agoCommercial airliners cost tens of millions of dollars, does that imply a company that makes them isn't being subsidized by their government? China subsidizes (among other things) battery manufacturing, which is the biggest single cost for making EVs. If you get your batteries cheaper than competing companies then you can make premium cars with an electric range at the high end of the market and then use the subsidized cost to provide other amenities that cause customers to choose your product over alternatives even at a premium price. It allows you to take the high end of the market on value just as well as the low end on cost.
- happymellon 3mo agoYou make it sound like the US doesn't massively subsidise entire markets and then try to force other countries to accept these market distortions.
- AnthonyMouse 3mo agoExpecting other countries to do the right thing while not doing it yourself makes you a hypocrite, it doesn't change what the right thing is.
- fsckboy 3mo ago>How is preventing a Chinese brand from selling here not meddling in the free market? because trade balances are established by free markets, but China doesn't allow many of our goods and does not allow free market competition. Also "strategic dumping" to establish supremacy in markets which can later be exploited. also, "free market" does not have anything close to a precise meaning; i used it because you used it but it's highly ambiguous, better to rephrase sentences to accurately include the phrase "market clearing price" while identifying external strictures which might move the market clearing price away from where it should be.