BYD, a Chinese automaker, is selling a $12,000 Electric Vehicle that could potentially disrupt the U.S. auto industry. Former President Trump had imposed tariffs on China-made cars to prevent their influx into the U.S. market. President Biden has increased tariffs on China-made EVs, but BYD's plan to produce cars in Mexico might allow them to bypass these tariffs.
Key Points
BYD's $12,000 EV poses a threat to the U.S. auto industry due to its affordability and potential market disruption.
Tariffs imposed by both former President Trump and President Biden aim to protect American auto workers from unfair competition.
BYD's strategy to produce EVs in Mexico might allow them to bypass the increased tariffs on China-made cars.
Pros
BYD's affordable Electric Vehicle could provide consumers with a cost-effective option for environmentally friendly transportation.
Cons
The entry of BYD's EVs into the U.S. market at low prices could potentially harm American auto workers and the domestic auto industry.