China has sharply ramped up its production of cheap electric vehicles, solar panels, and batteries just as the Biden administration has pushed through legislation supporting many of those same industries in the United States. ⠀
Chinese automaker BYD had recently introduced an electric SUV at the “astonishingly low” price of $14,000. China’s auto industry poses an “existential threat” to U.S. carmakers, the report argued. ⠀
After more than a decade of subsidizing its automakers, China has built a substantial car industry that accounts for 60% of global electric vehicle sales, according to the Paris-based International Energy Agency. ⠀
Yellen highlighted the Biden administration’s concerns by recalling a visit a week earlier to Suniva, a solar cell manufacturer in Norcross, Georgia.
The company “was once forced to close down, like other companies across a number of industries, because it could not compete against large quantities of goods that China was exporting at artificially depressed prices,” Yellen said. ⠀
China hasn’t committed to any steps to address American concerns, arguing that its cheap solar panels and other green products are helping the world wage the costly battle against climate change.
I love how threatened the American capitalist class is about competition.
I have no problem with this, I’d buy a Chinese Ev today if they were available.
I am not sure i fully understand the issue. Are the cars and solar panels not good? Or is the issue that american car companies can’t compete? Because the latter is not really an issue.
Arnaud Bertrand wrote a great article on this.
TL;DR: The 3 main signs of overcapacity (capacity utilization rates, inventory levels, and profit margins) for China are all at similar rates as the US, indicating they are not in overcapacity. And they aren’t even selling them at a lower price abroad than at home to beat competition; it’s the opposite. He concludes that China is simply getting too efficient at manufacturing these days and the US is starting to struggle to compete with that, and this is just them trying to convince China to slow down.
So yeah, the actual “issue” here does seem to just be that the US isn’t able to compete with China in these fields anymore.
Then they can get fucked honestly. “Oh no I’m not winning in capitalism! Ban the competition! 🥺”
It’s literally that one calebcity skit where he keeps shooting scientists that are making groundbreaking inventions because it threatens his profits lol
The company “was once forced to close down, like other companies across a number of industries, because it could not compete against large quantities of goods that China was exporting at artificially depressed prices,” Yellen said.
regardless of what you think of him, Deng Xiaoping was the guy in a way that pretty much no other human is gonna be for the unfolding of the 21st century
Yes and no. Deng was definitely a strong advocate for market reforms. However, if you ask any Chinese economist from that era they would say reform was inevitable.
Also the strategies Deng advocated for were similar to the failed shock therapy programs that Eastern European countries underwent following the collapse of the USSR. In doing so he risked the stability of the Chinese economy.
That said, he also helped keep political control out of capitalist hands. That allowed China to course correct when some of their reforms induced economic instability.
why would they NOT help make the transition to EVs cheaper?
this reads like a bad thing, just because it might hurt the us?
Oh I guess we don’t care about stopping the climate crisis anymore, US oligarchs making money is clearly more important!
artificially depressed prices They’re pulling an Amazon? China hasn’t committed to any steps to address American concerns And your problem with that is that this isn’t a state approved campaign to destroy the American working class?
Removed by mod
Lmfao as if the US has any grounds to talk about human rights, with its fucking constitution protecting slavery in its prisons (which, consequently, has the highest prison population in the world)
That’s right! I’d rather die in a wet bulb event on a boiling planet before I give a single dollar to those duplicitous Chinese!! We must protect American billionaire profits, at all costs.
