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by a0-prw 736 days ago
Tariffs will be passed on to consumers in the West. China also has a lot of options to retaliate.
1 comments

But that would increase the prices and remove the main appeal of Chinese made cars.
Japanese cars didn't originally just appeal in the US because they were cheaper than the domestic ones, but because they were of higher quality and more advanced than the crap GM or Ford were shoveling out the factory doors.

Chinese companies can also move production to cheap labor EU areas like Slovakia, Hungary and Romania to escape tariffs, and if Chinese players move the goal posts on quality and innovation in the EV sector, then the EU domestic players are screwed, since the quality on affordable EU cars is nothing to write home about, leaving them banking on the brand prestige and domestic history to attract customers, but that goes away over time as proven by the success of Japanese and Korean players in the west which were also initially ridiculed for being knockoffs.

Consumers vote with their wallets, and the appeal of inferior domestic brands just because they're local is very limited. Do you see Americans rushing to fly Boeing just because they're an American brand?

True. So far I feel like only BMW takes EVs seriously and sell some of the best ones in Europe.
BMW, EV, and Seriously - that's something I can't agree. I see the opposit. They are lagging behind technologically. They put their stakes on conventional cars and didn't invest much in EV for a long time.