A tiny, low-priced electric car called the Seagull has American automakers and politicians trembling.
The car, launched last year by Chinese automaker BYD, sells for around $12,000 in China, but drives well and is put together with craftsmanship that rivals U.S.-made electric vehicles that cost three times as much. A shorter-range version costs under $10,000.
Tariffs on imported Chinese vehicles probably will keep the Seagull away from America’s shores for now, and it likely would sell for more than 12 grand if imported.
But the rapid emergence of low-priced EVs from China could shake up the global auto industry in ways not seen since Japanese makers exploded on the scene during the oil crises of the 1970s. BYD, which stands for “Build Your Dreams,” could be a nightmare for the U.S. auto industry.
“Any car company that’s not paying attention to them as a competitor is going to be lost when they hit their market,” said Sam Fiorani, a vice president at AutoForecast Solutions near Philadelphia. “BYD’s entry into the U.S. market isn’t an if. It’s a when.”
I don’t see a problem here. If the US auto makers are so worried, they should buy a few of them, copy their secrets, and sell them at a marked down price.
Turnabout is fair play, after all.
The problem is the companies in China are backed by government funding that allows them to operate at a loss. To be clear, no governments should be spending public funds on propping up automotive companies. It’s a move to try and manipulate the market.
So are the Big Three, every time they fail to see what’s in front of their noses and get into trouble.
And they are setup for another fail right now, nothing but suvs on their lots and realistically gas has nowhere to go but up again.
Should’ve let them fall last time instead of the big bailouts.
Not true. They also have trucks
They’d prefer to sell you a giant SUV or truck with massive profit margins and so they can continue to flout emissions standards.
They sell what buyers want. Look at sales numbers of small cars versus everything else.
So small imported EVs aren’t actually a threat, then?
Someone has to pay for the R&D to make EV’s possible. So far, that’s not BYD. It’s been US and European countries.