Flooding is an emotive term. Surely a "flood" of imports only happens when there is sufficient demand to justify shipping in volume?
The subsidies are more interesting. When does legitimate assistance become a subsidy? Eg if Biden/successor invests in domestic lithium mines, is that a subsidy? If they offer buyers $x rebates, is that?
Looking at the last example, if BYD said to a US buyer, "this car is $x but we'll give you a rebate", that would seem to be just as fair as Uncle Sam offering one. The objection would seem to be that it was the Chinese government acting as the source of cash.
I suggest that the answer is that noone should offer direct purchase subsidies, but government can offer whatever investment they like to support their industries. I cant escape a feeling that the US and European car industry are crying foul because (despite Musk's attempts to drag them into the future) they havent figured out how to make electric vehicles profitably.
The subsidies are more interesting. When does legitimate assistance become a subsidy? Eg if Biden/successor invests in domestic lithium mines, is that a subsidy? If they offer buyers $x rebates, is that?
Looking at the last example, if BYD said to a US buyer, "this car is $x but we'll give you a rebate", that would seem to be just as fair as Uncle Sam offering one. The objection would seem to be that it was the Chinese government acting as the source of cash.
I suggest that the answer is that noone should offer direct purchase subsidies, but government can offer whatever investment they like to support their industries. I cant escape a feeling that the US and European car industry are crying foul because (despite Musk's attempts to drag them into the future) they havent figured out how to make electric vehicles profitably.