Comment by onerepublic
11 days ago
In 2016, Tesla released the Model 3. When Chinese consumers wanted the most advanced electric vehicles, the Chinese government communicated with Tesla in 2017 about building a factory in Shanghai to produce China-made Teslas. Currently, Tesla is the highest-selling pure electric vehicle brand in China ( Model Y sales in China in December last year were 60,055 volumes ) The intense competition in the electric vehicle market has fostered the development of high-quality Chinese EV brands such as NIO, Li Auto, XPeng, BYD, Zeekr, Xiaomi, Aion... ... In contrast, in the free and democratic America market, the response to competition in the drone market has been to ban DJI, and the response to competition in the short video market has been to ban tiktok. Let’s see in ten years which market environment will foster advanced productivity.
A more accurate following of the Chinese model would be for the US to insist that DJI builds its drones for the US market in the US, insist on a partnership with a US company who would then siphon off the knowhow and IP to start building competing products.
The key is to stop rent seeking. Musk pilots the most competitive companies on earth, so of course he isn't scared of China or anyone else, because a truly powerful company takes many dimensions of superiority, not just a few patents.
It's a classic move from corporate America, foreign cars banned if less than 25 years old, high taxes on motorcycles for decades to protect Harley etc...
When you cannot compete, then the only option left is removing competitor. Isn't that simple?
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