[seanmcdirmid]

There are plenty of countries that lack domestic automotive production that are very OK using Chinese EVs. Nepal for example, is all in in Chinese EVs now since it’s people couldn’t afford much gas or ICEs before, and with some hydro investments (also aided by China), they can now better afford to buy (cheap Chinese EVs) and drive cars (cheap hydro). There are a hundred nepals out there that the western and Japanese countries aren’t going after.

[ericmay]

There's nothing wrong with Chinese EVs (or any EVs) going to Nepal or something. China is closer, it's a tough country to get to, makes sense that China (or India perhaps) would be their primary supplier.

[seanmcdirmid]

Logistics through Tibet wasn’t really a thing until recently, China had to invest there. But it’s not just Nepal, it’s most of Africa, southeast asia, as well as Australia/NZ. China is literally creating markets for its products that simply didn’t exist at all before.

[ericmay]

Sure, though I'm not positive that's a good economic strategy outside of perhaps SE Asia. Market size in places like Africa, along with general instability presenting challenges has not made it a great place to invest, unless of course you have state backing and subsidies from, idk, China?

But let's say China develops these markets and they can afford more cars. That's great. That means after China develops them, Western countries can come in and sell their cars too at China's developmental expense. Seems like a win-win all around.

[seanmcdirmid]

Western countries don’t have a product to sell without protectionism. Look at Australia, a first word country by any measure but without an auto industry to protect has wholly embraced Chinese EVs.

[ericmay]

Could you summarize your larger point? I'm starting to get lost in what exactly we're talking about - my fault.

[seanmcdirmid]

China is creating and making markets where they are allowed to create/make markets. The western auto manufacturers are turtling up via protectionism, and they are no longer aiming to compete on their products.