China has positioned itself as the main car supplier in Mexico, with exports reaching $4.6 billion in 2023, according to data from Mexico’s Secretariat of Economy.
The Chinese automaker BYD surpassed Honda and Nissan to position itself as the seventh largest automaker in the world by number of units sold during the April to June quarter. This growth was driven by increased demand for its affordable electric vehicles, according to data from automakers and research firm MarkLines.
The company’s new vehicle sales rose 40 percent year over year to 980,000 units in the quarter—the same quarter wherein most major automakers, including Toyota and Volkswagen, experienced a decline in sales. Much of BYD’s growth is attributed to its overseas sales, which nearly tripled in the past year to 105,000 units. Now BYD is considering locating its new auto plant in three Mexican states: Durango, Jalisco, and Nuevo Leon.
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.
…
That tariff-free access is part of the US-Mexico-Canada Agreement (T-MEC), an updated version of the North American Free Trade Agreement that, as of 2018, eliminated tariffs on many products traded between the North American countries. Under the treaty, if a foreign automotive company that manufactures vehicles in Canada or Mexico can demonstrate that the materials used are locally sourced, its products can be exported to the United States virtually duty-free.
MAGA strikes again
I contracted to one of the big 3 for over 30 years. When we decided to quit making cars and focus on trucks, SUV’s, and crossovers it seemed like they were giving up future numbers for short term profit. It’s obvious small electric cars are the future but our big 3 want to ignore that. Blaming the lost market share on small cars from China disregards that they chose to leave that market. Of course Asia would step into that market and fill it
I love your propaganda filled shitposts!
Yes, yes, sure “the US fears…” lmao get real, kiddo.
Call me when China creates something new that isn’t a blatant IP theft from the west 👌
But but but they did it cheaper!
That’s easy when you use slave labor and run plants on a 996 schedule 🤡
Call me when China creates something new
My brother in Christ, they invented paper, fireworks, and the compass.
But but but they did it cheaper!
Because they developed more efficient engineering techniques and more advanced methods of industrial scale production. In the same way Japan ate the American auto industry’s lunch during the 80s and 90s by investing heavily in industry and education, China is flooding the zone with talented professionals and capital improvement projects. Meanwhile, Americans are just inventing new kinds advertisements for of bitcoin.
That’s easy when you use slave labor
The Chinese middle class is the largest in the world.
they invented paper, fireworks, and the compass
Lol, yea. And Timbuktu used to be the world capital of trade, now it’s just a shit hole in the middle of the desert.
You couldn’t even refute those idiotic points properly.
My brother in Christ, they invented paper, fireworks, and the compass.
True. And irrelevant.
Because they developed more efficient engineering techniques and more advanced methods of industrial scale production. In the same way Japan ate the American auto industry’s lunch during the 80s and 90s by investing heavily in industry and education, China is flooding the zone with talented professionals and capital improvement projects.
And because the Chinese government is heavily subsidizing their auto industry in order to gain market share works wide. Pros for us: if we can buy these cars, the Chinese government is essentially subsidizing them for our consumers. Cons for us: without equivalent subsidies domestic car companies can’t possibly compete. There are genuine issues of trade fairness in play here.
The Chinese middle class is the largest in the world.
Relevant only if the Chinese middle class is who is working in those car factories. Is that the case?
I’m not even saying the tarrifs are good or bad. If they’re explicitly time boxed and our governments are able to stick to that deal, then they could be good. But in general tarrifs on EVs during a climate crisis driven by carbon emissions is explicitly counterproductive.
True. And irrelevant.
“Show me one thing China has invented”
“Here’s three”
“DOESN’T COUNT!”
Okay, bro.
Oh no! Capitalism?! The free market?! How dare they!
The flat truth is, subsidies or not, nobody would be able to compete with BYD because they’re completely vertically integrated(they even mine and refine their own lithium for christ sakes). They’re a company that both robustly sells battery cells and robustly sells cars. Their margins can go way tighter than anybody else can afford while they keep chasing new markets and line go up.
If quality was an issue, they might have a problem, but since they’ve been outcompeting Volkswagen and Tesla on that domestically, the only thing that will stop them at this point is tariffs, and making people pay more for an electric car when we’re in a climate crisis is just dumb to me despite the monopoly threat that BYD is.
My stance on Chinese cars is to have no tariffs on models that are $25kMSRP or less this disincentives them from overly marking them up.
If they’re assembled in America I can see them easily going higher than 25k. Someone bought a byd shark plug in hybrid pickup truck in Mexico on Reddit(they keep it registered in Mexico and drive it in the US) for just under 50k, but even at that price the quality of it was just a steal when you compare it to an F-150 lightning at 80k. They’d torch US automakers on all fronts if they were allowed to compete here.
I’ll buy Chinese before I buy US
