Led by the automaker BYD, China has established itself as the main car supplier in Mexico. The US worries China could use Mexico as a “back door” to sidestep tariffs and gain footing in the US market.

Foreign investment would be an economic boost for Mexico. The company has claimed that a plant there would create about 10,000 jobs. A Tesla competitor, BYD markets its Dolphin Mini model in Mexico for about 398,800 pesos—about $21,300 dollars—a little more than half the price of the cheapest Tesla model.

  • eskimofry@lemmy.worldEnglish
    83·
    3 months ago

    Why won’t the Americans let in the chinese manufacturers to find out? Surely if the cars are trash they have nothing to worry about?

    • catloaf@lemm.eeEnglish
      6·
      3 months ago

      That’s the thing about economics. Humans are not rational actors. And even if they were, they don’t have perfect information.

      For example, there’s a thing going around in the US right now about raw milk. It’s not allowed to be sold because of the risk of disease. But people are idiots and seek it out anyway, and get themselves sick.

      For cars, assume one of them is an absolute lemon and deathtrap. It constantly needs maintenance, and if you get in a crash, you die. You won’t know about the former until a few years after you’ve bought it, and if the latter happens, you can’t seek any recourse because you’re dead.

      Now, I’m not saying that this applies to the Chinese EVs, exactly, but we haven’t seen them shaken out in the US yet, and China doesn’t have a very good track record with consumer safety in the recent past.

      • Aceticon@lemmy.worldEnglish
        63·
        3 months ago

        To counter those vague negative “maybes” of yours, I just want to point out that the EU, which have much more tight regulations on just about everything than the US, especially when it comes to consumer protection, allows the sale of BDY cars.

        If a regulatory regime which is more strict when it comes to consumer protection than the US allows such cars to be sold, then claiming or implying that the reason for the US to block their sale there is that they might be dangerous is quite the flight of fantasy.