BYD could pay the tariffs and still sell for $10k less than everyone else, but given the tariffs it appears they are focused on dominating the rest of the world. We sure do pay a premium for cars to protect jobs.Every vehicle? So how did Tesla make a profit of $1.5 billion last year? And why, if not because of competitive pressures, did they cut prices on the Model Y from over $60K to around $45K?Unfortunately this isn't Economics 101. Federal and State subsides. Manufacturers are losing money on every vehicle. The decrease in costs will simply make them lose less money.Economics 101 says that in a competitive market, a drop in the cost of making the product will mean a drop in the cost to consumers. Not all of the savings gets passed on, but a portion does.Consumers won't see price drops, but the traditional OEMs will get lower costs as their supply chains ramp up volume.
(Bold mine) It really isn't. The tech is actually quite mature at this point, there are no huge advances in range or drops in cost on the horizon.
But, as I said above, dramatic EV price drops are not on the horizon; many are already close to price parity with ICE vehicles, and after incentives they are often cheaper.
Statistics: Posted by CMD1 — Sat Aug 17, 2024 8:13 pm — Replies 61 — Views 3680