The Rising Influence of Rising Affluence

[n4807g]

Musk knows BYD will overwhelm the EV market with a range of cars that Tesla will never be able to duplicate and admits that the only way to stop them is restrictive trade tariffs. Is there an EV trade war brewing? Who is better positioned.....the EU/USA or China? While the Chinese built out their battery and supply chain networks in plain view of the world automotive industry, the world watched and did nothing until it became painfully apparent that China would dominate the new evolving industry. And now, instead of doing everything possible to fast track developing a domestic battery supply chain to compete, the focus has turned to trade tariffs. The only thing trade tariffs will accomplish is slowing the creation of a domestic battery supply chain and force BYD to develop markets in Mexico , South America, Asia, Africa and the Middle East. Europe and the USA domestic EV industry will be isolated and marginalized outside their tariff protected market. What of Tesla and the other car makers in the EU and USA. Well hopefully the Chinese won't retaliate with tariffs of their own on batteries or taxation of foreign manufacturers operating in China. Should be an interesting 2024. BYDDY is trading at close to multi year lows and perhaps will continue to fall. Ironic, considering it has turned the corner from a competitor, to the front runner.