They have never considered actually competing have they?

Pretty sure big oil and car companies have been bailed out by the US government in the past. Plus america designs most of its cities so that you need to own a car. Seems like both markets are equally "free" at the end of the day.

American car makers famously unsubsidized and holding up their own pants.

https://www.youtube.com/watch?v=Ttu55nEtC6o - How BYD overtook Tesla?

„Free market“? Speaking of hypocrisy. Chinese car brands are so heavily subsidized they probably cost the Chinese economy more than they make selling them at the moment. China is clearly trying to drown the global market with cheap cars so they can ramp up prices immensely once they have killed the competition and have become a monopoly. China hasn‘t been the extreme low income country to produce super cheaply for a long time and they couldn‘t produce cars this cheap in a free market situation.

Many countries and the EU have measures against such practices because state run operations with the sole purpose to destroy an industry (which this is) undermine the very idea of the free market or even trade relationships.

Alternatively we could start subsiding local car makers and play the same little game China is playing but more cars is honestly the last thing we need right now. Tariffs are a much smoother option to deal with this even when they have a bad rep.

Ideally we use that generated money from tariffs to subsidize public transport so we don‘t get cheaper cars but cheaper alternatives but that‘s still just a dream I‘m afraid.

Whatever the case, one should look at super cheap cars and what that means in the long run more critically.

They do. For example here. Just not in your country.

You forgot the part where they raised prices on everything.

It's unsustainable to keep prices lower than costs. The Amazon example didn't have low prices forever.

I think your muddying sustainable and successful. It definitely can be successful, but its not sustainable.

Its also high risk, especially if you can't crank up the prices enough later

The oil industry is famously completely independent from government subsidy. Especially when it comes to setting urban development policy and planning transportation systems, these have no bearing at all oil demand and they also cost nothing.

Alternatively we could start subsiding local car makers

We have been. Bailout after bailout. For the longest fucking time, and have had insane trade rules and tarrigs in place for decades and decades. I'd argue this is what it looks like to have another country finally being able to play on a level playing field.

Bring Your Drink.

Yes, I know. That's why BYD is going to then squeeze the customers once they are locked in.

While they are subsidised, the Chinese are really good at low cost manufacturing. It’s not the cheap labour anymore but factory automation and robotics. They really outclass anyone else.

If you're one of the largest and oldest car manufacturers in the world and the most "innovative" thing you've managed to do in the last 20 years is rebrand Buick into a young family brand, then you probably need some good competition.

Sustainable implies that they can keep doing it forever without changing. Switching later means what they are doing is not sustainable. It might be successful, but its not sustainable.

They’ve actually done the exact opposite. The lobbying, the import laws, the absence of a foreign export market, and the manufacturing of cars that would never pass safety laws anywhere else, all resulted in the kind of dogshit that Americans have to experience now. Why improve if you’re the only player

They don’t compete here either.

They’ve stopped producing passenger cars, and the Chicken Tax means they don’t have to compete on trucks.