6/20/2024

Huawei and BYD are not Alstrom or Toshiba

 When only one competitor is around, and totally a vassal state, the USA could get rid of it by underhand tactics. Alstrom of France found that out. Toshiba of Japan also found that out. But what can doggies do? Their government just caved in without a whimper. Like a dog being scolded and retreating quietly into a corner, unable to retaliate.

The USA tried that same trick on Huawei, intending to put it out of business. It failed because they were dealing with China behind Huawei's back. Huawei fought back and is now a competitor for Apple and also for USA, Japanese and South Korean chip makers. The USA and the West should not have messed with Huawei and are now stuck at 4.5G pretending to be 5G. They claimed to be on 6G now, but we know better.

But the USA never learn its lesson or refused to. It is now going after Chinese EVs by raising tariffs to as high as 100%. Who are they punishing actually? Tesla and German EV makers in China are worst hit. BYD's export numbers to USA and Europe are minor and not yet dominating. The USA may be trying to nip Chinese EVs in the bud but does not realize it is killing its own EV makers in China. Stupidity has no cure.

Anonymous

4 comments:

  1. https://youtu.be/Fx8-JLpZr0E?si=d8-Oh8stTNgu38Qk

    Germany seeks help from China?

    EU is afraid of China's retalitations.

    German Economic Minister rushes to China.

    Also one Brilliant Anon posted about the Pork issue, they afraid that once China imposed traiff or ban their pork, they going to be poked.

    Now they know China's powess

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  2. Already we have seen farmers protesting in the EU because of cheaper imports from outside the bloc. European farmers could not compete on price and are losing market share. Farmers in Europe are losing money and closing shop. How are they going to survive?

    The whole idea of the EU ruling body was to get rid of small farmers in Europe to allow the biggies like Nutrien, Dupont and others to corner the market and expand production globally. As in the USA, caring for the top 1% is more important than the smaller fish swimming in the crowded pond. And what will those small farmers do without their farms?

    China's retaliative moves against the EU over investigation of its EVs is going to make it even more detrimental for European farmers. EU leaders are spooked, and some are already flying to Beijing to seek help. China should tell those leaders that if they want to play with fire, they will get burned themselves. China has been working over the decades to secure alternative agricultural products, mainly from South American countries and now also from Russia. China already is prepared for any moves made by the USA and EU and will be able to respond positively. China is known to think decades ahead of what it will do ten to twenty years further down the road.

    This is also happening in India and Indian farmers are not taking it lying down. We have seen the protest just months ago. Modi is trying to win over farmers, but we do not know how. India is predominantly an agricultural economy, with 58% of the population involved in farming. Replacing their livelihood with other jobs is beyond India's capability, not when India is still not yet a diversified and an industrialized economy. Furthermore, younger Indians are joining the workforce by the millions every month and how are mostly illiterate farmers going to compete? India has big problems ahead.

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  3. It is not just about China targeting farmers in the EU. When China finds a cheaper alternative source for their supplies, it is bye-bye to the EU for good in pork.

    This is the same as BRICS finding an alternative to SWIFT and the US$ hegemony. Once gone, it is not coming back. And who made that happen?

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  4. The USA and the EU have a new tactic in their playbook. It is call 'shooting own foot' policy.
    It has worked very well so far with the Ukraine War providing the tipping point.

    ReplyDelete