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Because American auto makers convinced the government that BYD is price dumping in every market segment at the same time and somehow staying profitable.
by tancop 12d ago
Because American auto makers convinced the government that BYD is price dumping in every market segment at the same time and somehow staying profitable.
- joinHNtheysaid 12d ago[dead]
- shuwix 12d ago[dead]
- legitster 12d agoBut I mean, they are. The Chinese government is effectively giving all manufacturers 0% financing and raw materials at cost. And even still, BYD executives have come out and said their pricing is not sustainable. The Chinese market is engaging in a massive price war and BYD's strategy is to entrench themselves in new markets with "aggressive" introductory pricing campaigns.
- Taniwha 12d agoSo essentially the same thing the AI companies are doing
- surgical_fire 12d agoWhen Chinese companies do it, then it is evil price dumping. When US companies do it, then it is just good business strategy, investing in growth for future profits.
- pfisherman 12d agoDo US companies have free access to Chinese markets?
- surgical_fire 12d agoI love this sort of reply. Yes, the bastion of free market capitalism is no much different than the evil communist countries.
- pfisherman 12d agoOne mechanism by which the US encourages free market capitalism is requiring reciprocity. China is not evil - they are just self interested - and it is the responsibility of the US government to negotiate a trade agreement that benefits its citizens.
- surgical_fire 12d ago> US > reciprocity Funny joke. Everybody laughs. Curtains.
- Steltek 12d agoChina has an awful lot of billionaires for a communist country. Neither appellation is true and probably never was.
- maxglute 12d agoMore than vice versa.
- bryanlarsen 12d agoThe Europeans did a survey and pegged the value of BYD's government support at 17%. I trust that number as an upper limit because the European government would have had lots of incentive to be thorough and to err on the side of over estimating.
- xethos 12d agoNot to say you're wrong, but BYD could still be price dumping in several markets, while being quietly propped up by the Chinese government. I'm not convinced that's the case, but it's still possible. The kind of corporate-socialism that would allow a government to dump cash into an otherwise uncompetitive domestic automotive manufacturer to keep it afloat though, is more an American thing. If American auto manufacturers are right, and BYD is receiving government help, the hypocrisy would be nearly unbelievable
- JKCalhoun 12d agoI saw a print ad for a brand new Toyota Corolla back in 1974—something like $2500 or so. Running the inflation numbers: where are the $17K cars today? Why is the average US new car $50K now. To be sure, I know there are a lot more regulations on car manufacturers now, and tech in the cars, but come on! Querying Claude: "Manufacturers have responded by prioritizing profit, concentrating inventory at higher price points…", "2026 is the first year in the U.S. with no new car priced under $20,000." Cars in the US are the ultimate regressive tax. The blue-collar worker that needs a car to get to work, the guy that mows lawns for a living, the maids… Sure, used cars are a thing (my first car in my 1984 was in fact a Datsun B-210 that I paid $400 for). But I think everyone has noticed that used car prices are through the roof as well. The Japanese came in and handed the US car manufacturers their asses in the 70's. We might need something like that again.
- ponector 12d agoNew Corola is advertised at $25k. Fair price considering how many features you get vs 1974 car.
- 4d4m 12d agoWhat a hot dump for 25k. The current corolla in all its glory and odd mix of old and new technologies should be a 15k otd car, but instead its seen as a value at 25k and will provide years of boring value for a barely attentive driver.