Tesla and EVs

[Harvey]

An updated version of the "should I or shouldn't I?" question given current skyrocketing gas prices:

What to Know About Electric Cars When Gas Prices Are Surging

War in Iran has disrupted global oil supplies, which is prompting some car shoppers to look for ways to climb off “the gas-price roller coaster.”

www.nytimes.com

As always the comments are the best part of the article.

 

[ChrisC]

Sixt rented me a Chinese Hybrid SUV (think it was in a premium category because the rental agent asked for a shout-out for the upgrade in feedback forms). It was from BYD (banned in the USA) and wonderful. I'll throw some photos up (some day).

If Elon really thought he was making the best cars, open the US markets up. Such favors given to him in subsidies and closed markets.

Which the USA should for strategic reasons.

 

[EMSC]

Sixt rented me a Chinese Hybrid SUV (think it was in a premium category because the rental agent asked for a shout-out for the upgrade in feedback forms). It was from BYD (banned in the USA) and wonderful. I'll throw some photos up (some day).

If Elon really thought he was making the best cars, open the US markets up. Such favors given to him in subsidies and closed markets.

Which the USA should for strategic reasons.

Remember Elon already sells in competition with BYD within China for example. Would it require significant changes in the Tesla US strategy, almost certainly.

However, I believe the US tariffs on Chinese cars are actually to primarily protect GM, Ford, etc... who currently struggle to even compete with Tesla on price/tech. They would be the first to be completely slaughtered by BYD is my guess.

 

[jasoncapecod]

i saw that BYD will be selling in Canada soon...Just a matter of time before they start being seen in the US...

 

[Sbooker]

Australia is a tiny market but it shows that BYD is making its mark.

 

[Tony Crocker]

If Elon really thought he was making the best cars

Elon was making the best electric cars up to about 2020. Since then he's convinced that self driving cars are the only ones worth investing in. So far he's losing the bet with Waymo on that tech.

Charlie Munger recommended BYD stock in 2010, a couple of years after Berkshire-Hathaway bought a 10% interest in the company. BYD stock went nowhere for a decade, ran up some in 2020-2021 during the EV stock fad period and has not moved much more since then despite the steadily rising sales.

 

[Tony Crocker]

.Just a matter of time before they start being seen in the US...

I have my doubts. The prohibitive tariffs on Chinese EVs were enacted under Biden. Legacy auto and their unions still have lots of bipartisan clout in the US.

 

[jasoncapecod]

I have my doubts. The prohibitive tariffs on Chinese EVs were enacted under Biden. Legacy auto and their unions still have lots of bipartisan clout in the US.

Not sure i agree... The legacy auto makers where screaming in the 70's when the Japaneses cars started to arrive..It was slow at first...The rest is history...

 

[EMSC]

Not sure i agree... The legacy auto makers where screaming in the 70's when the Japaneses cars started to arrive..It was slow at first...The rest is history...

Maybe, but there have been tariffs for multiple decades (since 1964) on imported pickup trucks, cargo vans and some SUVs (though USMCA allows no tariffs on mexico/canada usually). Which is why the US auto companies have nearly completely given up on building and selling sedans and small cars over the years. They can make by far the most money on heavy and large vehicles because of the multi-decade long 25% tariffs on heavier vehicle imports (also known as the 'chicken tax'). And yes the tariff was implemented for totally different reasons but has been kept by both heavy lobbying and protectionism ever since.