President Biden is expected to quadruple tariffs on electric vehicles from China in an announcement Tuesday, according to a source familiar with the decision.
This is very much a mixed bag of news - while it sucks to force ridiculously high tariffs on EV imports the Chinese EV market is currently unsustainably subsidized by the government and domestic companies wouldn’t be able to compete. If we want to grow our domestic EV automakers we can’t let them be forced to sell vehicle at a perpetual loss.
This is made even more complicated by the fact that EV manufacturing is already being heavily domestically subsidized by PE money - I believe one of the manufacturing startups is currently losing 350k on every car they sell.
This is very much a mixed bag of news - while it sucks to force ridiculously high tariffs on EV imports the Chinese EV market is currently unsustainably subsidized by the government and domestic companies wouldn’t be able to compete. If we want to grow our domestic EV automakers we can’t let them be forced to sell vehicle at a perpetual loss.
This is made even more complicated by the fact that EV manufacturing is already being heavily domestically subsidized by PE money - I believe one of the manufacturing startups is currently losing 350k on every car they sell.