this post was submitted on 14 Dec 2024
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It's kind of simple, say you tarrif chinese electric cars because they are cheaper than USA made ones. Good right?
No, because now american EV makers doesn't need to compete as much, and you have to pay your Chinese EV plus tarrifs, or go with the USA made one, who was more expensive and/or worse from the beginning.
A thing here is obviously that in the EV example, the Chinese poured money into their EV market lowering prices, thus the tarrifs, right?
Well you can see it that without tarrifs now you can buy a cheap EV sponsored by China & their money.
Someone else might say that tarrifs helps american EV makers (debatable IMO), but either way it's always the consumer who pays the tarrifs.
Won't the American ev get more expensive anyway, because we source a lot of our battery materials from China?
That is the thing capitalism, they'll find something else to make it cheaper (child labour if they can push the laws) and sodium batteries seems particularly promising.