It's hard because I have very, very little sympathy for the US auto industry. Very little (go fuck yourself Detroit).
However, China routinely focuses on certain industries and then uses state incentives to have Chinese companies mass produce products in those industries. It is all but impossible for any company, from any country, to compete with that (without similar government subsidization).
It seems to me that the solution isn't to ban Chinese exports or ignore Chinese subsidies ... it's to allow Chinese products in, with a tariff that balances the subsidization.
(Which is also hard for me to support, as I'm generally anti-tariff ... but it does seem like the right measure here.)
"without similar government subsidization" has any US company ever given such incentives? Or accept rescue or any money for gov?
In Europe take a look at VW, owned by the German gov. They are in trouble only because their CEO's and others who decide where they should go and do, they have no idea what they are doing. Zero. Grab a random person on the street and make it VW CEO that it will be much better.
This is why we had 100% tariffs well before Trump. To make it difficult but not impossible to compete. Europe clearly took it too far and it resulted in their biggest companies downsizing at best. I suspect once trump is out we'll look to Canada as a model.
It's hard because I have very, very little sympathy for the US auto industry. Very little (go fuck yourself Detroit).
However, China routinely focuses on certain industries and then uses state incentives to have Chinese companies mass produce products in those industries. It is all but impossible for any company, from any country, to compete with that (without similar government subsidization).
It seems to me that the solution isn't to ban Chinese exports or ignore Chinese subsidies ... it's to allow Chinese products in, with a tariff that balances the subsidization.
(Which is also hard for me to support, as I'm generally anti-tariff ... but it does seem like the right measure here.)
"without similar government subsidization" has any US company ever given such incentives? Or accept rescue or any money for gov?
In Europe take a look at VW, owned by the German gov. They are in trouble only because their CEO's and others who decide where they should go and do, they have no idea what they are doing. Zero. Grab a random person on the street and make it VW CEO that it will be much better.
Considering Sillicon Valley is all about giving stuff for free to get monopolies, sometimes for years ... USA has zero grounds to complain.
This is why we had 100% tariffs well before Trump. To make it difficult but not impossible to compete. Europe clearly took it too far and it resulted in their biggest companies downsizing at best. I suspect once trump is out we'll look to Canada as a model.
Europe produces and sells more then America. The software services are notable exception.
No, we need more competition. $100,000+ trucks just to drive to the office with 72+ month leases are not competitive.
If the market demands products you cannot deliver, buy politicians, laws, and pr firms instead