Chinese auto giant Geely to announce entry into US EV market within 2-3 years

[Yossarian]

The article doesn't provide any specifics and to some extent, it's not really news that a Chinese EV maker, particularly one like Geely that is already somewhat familiar with the US auto market (through its affiliation with Volvo), is in the process of preparing to enter the market. I'm not sure about Geely specifically, but in general, the Chinese EVs appear to be technologically superior to those from US makers, and at least when produced in China, also enjoy a large advantage in production efficiencies. It will be interesting to watch how things develop and to see if there is a related push into the US in other green/alternative energy areas (solar panels, wind turbines, storage batteries, etc) by Chinese companies.

Chinese auto giant Geely to announce entry into US EV market within 2-3 years
chinese-auto-giant-geely-to-announce-entry-into-us-ev-market-within-2-3-years

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[DuoRivian]

The article, doesn't provide any specifics and to some extent, it's not really news that a Chinese EV maker, particularly one like Geely that is already somewhat familiar with the US auto market (through its affiliation with Volvo), is in the process of preparing to enter the market. I'm not sure about Geely specifically, but in general, the Chinese EVs appear to be technologically superior to those from US makers, and at least when produced in China, also enjoy a large advantage in production efficiencies. It will be interesting to watchhow things develop and to see if there is a related push into the US in other green/alternative energy areas (solar panels, wind turbines, storage batteries, etc) by Chinese companies.

Chinese auto giant Geely to announce entry into US EV market within 2-3 years
chinese-auto-giant-geely-to-announce-entry-into-us-ev-market-within-2-3-years

I recall reading that RJ was asked about Chinese EVs and they are that much better at manufacturing efficiency (nothing surprised him) it was more cheap labor and having subsidized loans etc from the government.

Most people seem to focus on their infotainment connection to the cell phone. Other than that I don’t think they are any more superior to western EVs.

 

[UnsungZero_OldTimeAdMan]

Inevitable. The Chinese market and economy has passed peak. They can’t just cut production and jobs and risk domestic social unrest. They have to look externally for revenue sources. But they face much head wind. And the saber rattling among heads of states don’t help. But 2-3 is a lot of time to navigate all that. They should partner with another automaker; one that is established in the US but struggling (Nissan).

 

[Electrified Outdoors]

The Chinese have the advantage of their government policies. The Chinese consumer is different in that they all want Tesla and Rivian type vehicles...as to where our market seems to be slower to adopt of new software first approach.

I recently tested FSD 14.2.2 in a 26 Model Y and it blew my socks off. If the Chinese bring a vehicle in I can't imagine it would be imported from China. If the Chinese can build them here for the same or similar low cost then our auto market might be in trouble.

Its true as well I guess to say they are already here. Last time I looked Geely Holding and Li Shufu together own 66% of Polestar. So I guess it depends on how we define them as being in the US market.

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[Oldsmobile_Mike]

Yikes. On one hand, more competition is (almost always) good for the consumer.

And these are nice automobiles, based on my experience with them in Central America.

But domestic manufacturers are gonna have some trouble with this. Who bets they'll try to lobby for more restrictions to keep them out?

2-3 years will push real close to another (possibly more EV friendly?) administration, as well. Assuming we get there.

This will be interesting to follow. Thanks for posting!

 

[UnsungZero_OldTimeAdMan]

Yikes. On one hand, more competition is (almost always) good for the consumer.

And these are nice automobiles, based on my experience with them in Central America.

But domestic manufacturers are gonna have some trouble with this. Who bets they'll try to lobby for more restrictions to keep them out?

2-3 years will push real close to another (possibly more EV friendly?) administration, as well. Assuming we get there.

This will be interesting to follow. Thanks for posting!

We've gone through all this multiple times before, first with the Japanese and then the South Koreans. And some domestic brands died (through consolidation). But the big three continued on despite their own dire predictions. And, honestly, those dead brands deserved to die since they were at a point where they made themselves uncompetitive, uncompelling and redundant.

And, like past actions done to the Japanese and S. Koreans, you can count on legislation to force the Chinese to sell at higher prices than current. You won't see a Xiaomi SU7 that undercuts Tesla by $33k.

 

[Electrified Outdoors]

Rivian was right to make autonomy a focus. US automakers have to structure themselves for tomorrow’s market.

My opinion is there will be a shift. Right now we drive out if necessity. The shift will be more about driving for pleasure snd riding for necessity.

It will be interesting to see how this shift affects things as well.


we are entering into interesting time.

 

[Donald Stanfield]

This will hurt companies like Ford and Stellantis, which refuse to innovate with EVs.

 

[UnsungZero_OldTimeAdMan]

This will hurt companies like Ford and Stellantis, which refuse to innovate with EVs.

But not long term. Like past entries from Asia, BYD Geely would be forced to establish plants in the US and hire American workers (just like Fuyao). That will drive their cost and selling price up. And legislation, tax & tariffs on imported parts will also drive up their operating cost and selling price. Similarly equipped, they might be able to still undercut competitors but it wouldn't be as drastic as what they are able to do in their domestic market. The big three will whine, guaranteed. And they will experience pain and may even ask for a hand-out from taxpayers. But, just as they did in the 80s, 90s and 2000s, circumstances will force them to adapt and evolve. Kicking and screaming, it may just be the kick in the ass and medicine they need but would rather avoid.

 

[NY_Rob]

This will hurt companies like Ford and Stellantis, which refuse to innovate with EVs.

Stellantis doesn't need anyone's help destroying the company, they're doing a great job all by themselves! It's like they're going out of their way to be bad?

 

[DuoRivian]

But not long term. Like past entries from Asia, BYD would be forced to establish plants in the US and hire American workers (just like Fuyao). That will drive their cost and selling price up. And legislation, tax & tariffs on imported parts will also drive up their operating cost and selling price. Similarly equipped, they might be able to still undercut competitors but it wouldn't be as drastic as what they are able to do in their domestic market. The big three will whine, guaranteed. And they will experience pain and may even ask for a hand-out from taxpayers. But, just as they did in the 80s, 90s and 2000s, circumstances will force them to adapt and evolve. Kicking and screaming, it may just be the kick in the medicine they need but would rather avoid.

Well at least we don’t do what the Chinese mandate - a joint venture to allow foreign companies in then steal the intellectual property.

 

[NY_Rob]

Well at least we don’t do what the Chinese mandate - a joint venture to allow foreign companies in then steal the intellectual property.

The sad part is, this has been going on for so long now how could the outside companies not know what's going to happen to them sooner or later?

 

[Donald Stanfield]

Stellantis doesn't need anyone's help destroying the company, they're doing a great job all by themselves! It's like they're going out of their way to be bad?

Very true.

 

[captainjp]

Who bets they'll try to lobby for more restrictions to keep them out?

Oh for sure. This exactly.

 

[DuoRivians]

I say bring it. The U.S. auto industry is stuck on gas—the only developed economy to be like this.

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