US senator wants to put the brakes on Chinese EVs
- Reference: 1713186014
- News link: https://www.theregister.co.uk/2024/04/15/china_ev_ban/
- Source link:
Sherrod Brown, senator for Ohio and chair of the Senate Banking Committee, [1]penned a letter to President Biden, claiming "there are currently no Chinese EVs for sale in the United States, and we must keep it that way."
He warned that "Chinese EVs, highly subsidized by the Chinese government, could decimate our domestic automakers, harm American workers, and give China access to sensitive personal data," insisting the US government must ban Chinese-made EVs as soon as possible, calling it "a matter of economic and national security."
[2]
The move comes as the dispute between the two economic superpowers over technology rumbles on, with the US last week [3]sanctioning four more Chinese companies , claiming they were involved with providing chips for accelerating AI to China's military and intelligence users.
[4]
[5]
Among those added to the Entity List maintained by the US Department of Commerce was Sitonholy (Tianjin) Co, understood to be one of the largest distribution channels for Nvidia's datacenter products in China, thus cutting off supplies of Nvidia GPUs to many Chinese companies.
Meanwhile, politicians in DC are said to be livid after Chinese technology giant Huawei was able to launch a new laptop line based on Intel's latest AI-enabled Core Ultra processors, despite sanctions in place against the company.
[6]
According to [7]Reuters , the Biden administration came under fire from angry Republicans when news broke of Huawei's [8]MateBook X Pro , the company's first AI PC. But it was revealed that Intel had managed to obtain a license that permitted it to supply Huawei with processor chips, and this was issued by the Trump administration back in 2020.
While the sanctions against Chinese organizations like Huawei are claimed to be motivated by national security interests to try to prevent Beijing's military from getting access to advanced AI capabilities, the calls for a ban on EVs appear to have more to do with economic fears.
These fears are not groundless – Chinese automakers are now said to account for about half of all EVs sold globally each year. They have also been claimed to represent a real threat to the car industry in Europe and the US because China-based brands typically carry a lower price tag than their western rivals.
[9]Canadian arrested for 'stealing secret' to speedy Tesla battery production
[10]Chinese smartphone brand Xiaomi adds electric vehicle to its mobility offerings
[11]Toyota, Samsung accelerate toward better EV batteries
[12]Watchdog calls for more plugs, less monopoly in EV charging network
And the claims by Senator Brown also appear to have some legitimacy. Reports say that Beijing has heavily subsidized its green tech industries, with BYD, now the largest manufacturer of electric vehicles in the world, [13]said to have received at least $3.7 billion in state hand-outs.
"Time and again, we have seen the Chinese government dump highly subsidized goods into markets for the purpose of undermining domestic manufacturing," Senator Brown said. "We cannot let the same occur when it comes to EVs. American automakers and autoworkers need a level playing field – they cannot, and should not be expected to, compete with these heavily subsidized Chinese EVs."
[14]
The number of Chinese cars purchased by US customers is understood to be very low as these are subject to an extra 25 percent tariff on top of the regular 2.5 percent import duty that DC applies to imported vehicles.
However, Senator Brown notes in his letter that BYD already sells an electric hatchback named the "Seagull" for the equivalent of less than $10,000. This compares with the $28,140 that has been [15]reported as the starting price of the current cheapest electric car available in the US, the 2024 Nissan LEAF S.
There is also a national security twist as Senator Brown claims that data collected by the sensors and cameras in Chinese EVs could pose a threat. "China does not allow American-made electric vehicles near their official buildings. To allow their vehicles freedom to travel throughout the United States would be foolish and highly dangerous," he stated.
Senator Brown also claims in his letter that nearly 20 percent of all electric vehicles sold in Europe during 2023 were made in China, citing this as a cautionary example.
The European Commission last year announced an [16]investigation into subsidies in the Chinese EV industry, but there are [17]said to be misgivings in Germany and elsewhere that a ban on Chinese EVs could backfire, with Beijing retaliating by locking Western carmakers out of the lucrative China market entirely. ®
Get our [18]Tech Resources
[1] https://www.brown.senate.gov/imo/media/doc/04112024evlettertopresidentbiden.pdf
[2] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=2&c=2Zh1PGV-iCBXwrmjWvGVX@gAAANg&t=ct%3Dns%26unitnum%3D2%26raptor%3Dcondor%26pos%3Dtop%26test%3D0
[3] https://www.scmp.com/tech/tech-war/article/3258911/tech-war-us-sanctions-key-nvidia-distributor-china-could-push-more-customers-towards-domestic
[4] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh1PGV-iCBXwrmjWvGVX@gAAANg&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[5] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Zh1PGV-iCBXwrmjWvGVX@gAAANg&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[6] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=4&c=44Zh1PGV-iCBXwrmjWvGVX@gAAANg&t=ct%3Dns%26unitnum%3D4%26raptor%3Dfalcon%26pos%3Dmid%26test%3D0
[7] https://www.reuters.com/technology/us-lawmakers-angry-after-huawei-unveils-laptop-with-new-intel-ai-chip-2024-04-12/
[8] https://www.theregister.com/2024/04/11/intel_huawei_meteor_lake/
[9] https://www.theregister.com/2024/03/20/tesla_complaint/
[10] https://www.theregister.com/2024/03/13/xiaomi_ev_ready/
[11] https://www.theregister.com/2024/03/07/toyota_battery_buyout/
[12] https://www.theregister.com/2024/03/05/uk_cma_ev_charging/
[13] https://electrek.co/2024/04/12/china-gave-byd-an-incredible-3-7-billion-to-win-the-ev-race/
[14] https://pubads.g.doubleclick.net/gampad/jump?co=1&iu=/6978/reg_security/front&sz=300x50%7C300x100%7C300x250%7C300x251%7C300x252%7C300x600%7C300x601&tile=3&c=33Zh1PGV-iCBXwrmjWvGVX@gAAANg&t=ct%3Dns%26unitnum%3D3%26raptor%3Deagle%26pos%3Dmid%26test%3D0
[15] https://www.findmyelectric.com/blog/electric-car-prices/
[16] https://ec.europa.eu/commission/presscorner/detail/en/ip_23_4752
[17] https://www.bloomberg.com/opinion/articles/2024-04-14/china-ev-trade-war-would-be-an-own-goal-for-europe-s-carmakers
[18] https://whitepapers.theregister.com/
Popcorn icon needed
With the main "American" EV manufacturer, Tesla, facing "disastrous" sales and [1]decimating its workforce is the world finally waking up to the issue of EVs being unsustainable hype?
In the UK, for even half of vehicles to be electrified, even if we had the generation and transmission capacity, we would need to dig up every street and lay new underground cables- at a time when we don't have enough civil engineering workers to maintain leaking gas pipes, water pipes and sewers ...
[1] https://www.bbc.co.uk/news/technology-68818113
Re: Popcorn icon needed
With the main "American" EV manufacturer, Tesla, facing "disastrous" sales and decimating its workforce is the world finally waking up to the issue of EVs being unsustainable hype?
Details, details. US complains about China subsidising EVs. US, UK and EU subsidise EVs in the same way with tax credits, EV credits and Tesla would have gone titsup.com long ago if it wasn't for those. Now Tesla's facing more competition, which should also result in falling EV credit sales to competitors, and it still can't compete with China or India because our cost base is simply too high.
Re: Popcorn icon needed
National Grid say there's plenty of power, and they're already running bigger supplies to places like motorway services.
Water companies would rather pay their shareholders than maintain their pipes, which is why Thames Water is in so much trouble right now.
Re: Popcorn icon needed
National Grid say there's plenty of power
Mandy Rice-Davies applies...
Re: Popcorn icon needed
It's not "unsustainable hype" except when used as just another Faux News point to biatch at.
There certainly is a market for EV's. The ISSUE is that there probably isn't an *infinite*, always expanding market for EV's, and Wall Street HATES the idea of ever having to admit that about ANY market.
EV's have a market for the average urban driver, one who maybe travels 50 miles one way or 150 miles on weekends, and that's just fine. The problem is when you need to deal with exurban drives, where 80-300 mile trips may be either common or needed. But just as the urban driver's needs aren't universal, neither are the rural / exurban driver's needs, and to try to say that because EV's won't meet everyone's needs simultaneously that they are a failure or just hype is intellectual DISHONESTY.
There's a market for them but they are NOT for everyone. But allow those to whom the product fits THEIR needs to be pleased with them and stop trying to push a singular agenda on everyone else. If you want an EV, then there's no hype - it'll work for you. End of story. If an EV can't or doesn't work for you don't go trying to put down an entire industry plus their customers in an attempt to prove yourself singularly as "correct". The "hype" is needing to overcome 130 years of petrol infrastructure and be taken seriously - people are expecting EV's in less than 20 years, to be as supported and as flexible as ICE cars that have over a century of refinement. We need some realism here.
Re: Popcorn icon needed
This is an interesting article discussing how people are buying EVs for the wrong reasons. (a couple of years old but still valid)
https://www.bloomberg.com/news/articles/2022-11-15/the-wrong-americans-are-buying-electric-cars
Re: Popcorn icon needed
EVs will happily do long distance trips - you might need to look at what current cars can do rather than assuming everything is the original leaf.
Or are you another jake - who *needs* to travel a thousand miles without stopping whilst towing 10 tons, uphill all the way with no electricity supply anywhere along the route?
What the actual . . . .?
What are these people on? $3.7B is absolute chickenfeed compared to US subsidies of its own car market - well over $13B from what I can see with just a very cursory glance at figures. $2B to Tesla alone, without including its subsidiaries.
This kind of ignorant, protectionist bullshit really winds me up. At least get some figures to back your story up that actually tell the lie you are trying to sell...
Re: What the actual . . . .?
I will bet you $10,000 that Brown knows all of the figures above and still went out and said what he has said here.
Read as follows ..
Big oil wants to kill electric vehicles.
OFC they will engage in all kinds of speculations , offer no proof at all to protect their rich contributors from facing competition.
Same goes for the auto industry that have to face a new and strong competition.
It's not a matter of safety , it's a matter of protecting big oil and the auto industry from facing competition.
Ban this, ban that, no goodies for China
This "no high tech for China" nonsense is childish and in the end, counter-productive.
All the high tech bans will achieve is to cost US companies sales to a massive market and accelerate the speed at which China will catch up with and then surpass US companies in all of the technologies which they can't, for manufactured reasons, be allowed to buy. It's all about protectionism and very little to do with the, by nature undocumented, "national security" risks. Cutting off your nose to spite your face is the expression which comes to mind.
As to electric cars from China spying on you, well, the ones which don't come from China already do a fine job at that, so what's the difference?
Re: Ban this, ban that, no goodies for China
The US auto industry hasn't really learned much since the malaise era when the overseas manufacturers gave them a good arse kicking. Many 'muricans would still prefer a Toyota or Honda to something made by GM or Ford.
Re: Ban this, ban that, no goodies for China
Apart from the fact that China isn't playing fair, I believe it's of the utmost importance to protect our industrial capacity since it eventually influences our military dominance. Which in the end is the only thing that *REALLY* matters.
I've predicted that in the future the world will fall apart into separate trading blocs which will insist on industrial and economic independence and sovereignty. We're already seeing the signs of this de-globalization occurring as we speak. The U.S. and Europe will block China from taking over their car industry by outright banning Chinese imports. Semiconductors are another strategic sector where the West (guided by the U.S.) is taking steps to prevent China from catching up.
Re: Ban this, ban that, no goodies for China
Filed under: "If you cut chicken legs they will learn to run on their drumstick and end up running faster than cheetahs". Nice try.
Soft underbelly
Europe is the soft underbelly of the Western world since Germany is outright opposing tariffs being imposed on Chinese EV's. The Germans are too stupid to see that this is EXACTLY how the Chinese intended their opening up of their car market to German brands to work in their favor. By taking one dominant EU country as a "hostage" they can prevent the Union from imposing tariffs on their EV exports.
The Germans think they can hold on to both their Chinese and European market share if Chinese EV's can freely be sold in Europe. They're completely misguided. The Chinese EV's will wreck the European car industry and become an existential threat to the German carmakers.
Senator Brown is mistaken
Volvo and Polestar sell EVs in the USA, and are wholly-owned subsidiaries of Chinese auto manufacturer Geely.
Both firms are still only at the planning stage for US-based factories.