> there is no free market here whatsoever. The fact that BYD's cost structure is what it is is the direct result of Chinese industrial policy.

Aside from countless other ways before and after this, the US government handed over tens of billions of dollars in cash to GM and Chrysler in 2008 and 2009.

Why do people say this? You can get a Shanghai-made Tesla Model 3 with CATL batteries in the US yet somehow, if a Chinese car, made with Chinese components in Chinese factories were to enter the market, the would spell doom for the entire US auto industry.

Perhaps the U.S should change its industrial policy as well so that it can be competitive on the global market? To me it’s been clear that the car manufacturers both in the US and Europe were just milking their customers every year with a facelift as a reason to sell the same old car. I am glad that a 3rd player is in the market to challenge the “heritage” tax.

Don’t worry about the free market. China will definitely agree to free market terms after it captures the market like the U.S did and Britain before it. Then enforce strict free market rules and strict IP rules.

The US is primarily powered by oil and natural gas, has massive domestic capacity, and locked in supply all over the Americas. China has a completely different energy mix and they move from a position of competitive disadvantage on ICE cars to competitive advantage on electric. Rapid electrification for China is all win, but for the US and our partners in the oil business, it would mean stranding trillions in capital investments that still have decades to run, so it just isn't going to happen.

> The reason we can't buy BYD cars is because if we allowed it without restrictions, it would utterly and completely destroy the United States auto industry. That's terrible public policy, and we should not allow it.

Yeah, that was the argument against Japanese car makers, too.

A shitty system needs destroying sometimes. Competition from Toyota/Honda was critical in making US auto makers up their game.

It is terrible public policy to fall decades behind making expensive shitty versions of what the rest of the world has.

This is absolutely true. Remember that automakers greatly contributed to war efforts in the past. It is an indispensable domestic industry, just as much as energy.

Then there is the issue that BYD cars are presumably connected to servers in China and most probably backdoored. They are too much of a security risk. I would absolutely not drive such a car, without permanently disabling the onboard cellular modem.

You can just copy the chinese playbook and allow entry if you are willing to hand over ip.

it would destroy it, but then new more competent US automakers would pop up, similar to tesla.

US Big Three are simply full of incompetent boomers who want to maintain monopoly using tariffs, chicken tax, and banning of competitors that actively harm consumers.

Suddenly US government thinks that capitalism and free market is not desirable... huh

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> The Chinese don't make these kinds of idiotic mistakes, which is how they have amassed the power, wealth, and influence that they have.

I generally agree with most of what you said but not this. China's chief advantage is having a billion people. On average, they aren't that wealthy or powerful. And their leadership makes plenty of idiotic mistakes - look at their real estate market.