China has been quietly driving an electric vehicle revolution in many parts of Africa, creating jobs and supporting a transition away from fossil fuels. A ra...
Tariffs are a fine answer - if coupled with cheap, domestic EV production. From a Keynesian point of view (I am not, I am a Communist), the right tack would be moderate tariffs - high enough to protect domestic industries and adjust for lower production costs overseas, but low enough that domestic producers still must compete.
The issue with the current track is that the very-high tariffs are too high - domestic producers are not incentivized to even enter the budget EV market, since they can continue to sell budget ICE autos and luxury EVs to those who care. They make more profit if they only sell highly marked-up luxury EVs, so the extremely-high tariffs benefit only auto industry shareholders - not the American people.
Tariffs are a fine answer - if coupled with cheap, domestic EV production. From a Keynesian point of view (I am not, I am a Communist), the right tack would be moderate tariffs - high enough to protect domestic industries and adjust for lower production costs overseas, but low enough that domestic producers still must compete.
The issue with the current track is that the very-high tariffs are too high - domestic producers are not incentivized to even enter the budget EV market, since they can continue to sell budget ICE autos and luxury EVs to those who care. They make more profit if they only sell highly marked-up luxury EVs, so the extremely-high tariffs benefit only auto industry shareholders - not the American people.