Geely and Volvo avoid tariffs, start selling cheap Chinese EV's in the US, and snag the $7500 credit
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- Опубліковано 24 кві 2024
- Resources and links:
How Volvo landed cheap Chinese EV's in the US, avoid tariffs, and show buyers how to claim a $7,500 tax credit www.reuters.com/business/auto...
Tesla cuts prices by $2000 for product lines in Europe, US
edition.cnn.com/2024/04/22/ca... - Наука та технологія
This was done back in 2010 and now 14 years later Geely is reaping the harvest.
Who would have thought. US plays checkers while China plays GO.
China : Go Go Go! Zhung ar!🎉
USA playing checkers on a chess match
Play chess or throw a tantrum! Guess what the American chose?
But Tesla will beat them all.
Smart people who are outsmarting the officials who crafted laws!
道高一尺，魔高一丈。
As Kevin often puts it, sanctions create new markets. Likewise, unconscionably high tariffs also create new markets. SALUTE! ATTENTION !!! @Volvo + Geely
No telling if the ones that crafted laws are not working with the car dealers wth their hips joined together.
I wouldn't say crafted, just reacting like idiots at accepted trade practices ! China should sanction Mexico for caving into US hegemony !
That's what you get for stu*pid officials.
Volvo was sinking into oblivion until Geely rescued it and now it is the crown jewel of Swedish motor industry.
It was a crown jewel before that. They needed Geelys Capital and Geely needed the access to engineering and technology knowledge base of Swedish engineering; which is in some respect surpass American one. Volvo as an industrial giant was ideal deal to make inroads for Chinese. As Germans are still too strong, and proud.
@@kibakobo Was, in past lives
The fate of Volvo is much brighter ahead when you compare to the fate of Land Rover and Jaguar. It’s the fact that Volvo’s EVs are more reliable than Jaguar’s EVs. That’s is the difference between their mother companies willingness to invest further on these brands.
Kikakobo LOL! Volvo was Degenerating into oblivion in the 2000s with Dated technology and no advancement.
Sales were falling until Geely not only injected $$$, but also Advanced tech and AI where China is the
Leader
瑞典是一个反中国的国家
这个国家主动被美国灭绝 ❤
This thing will sell like CRAZY. Come on over Geely!
Nonsense. It costs $10,000 to install a rapid charger in your home. Finding a charger on the road is impossible. During the winter it is worse. EVs are setting peoples garages and homes on fire. Ford, Jeep and Chevy and other EV manufactures are sitting on millions of dollars of inventory they can't sell. Ford just announced they lost $5 billion last year because of EV sales. Tesla has finally started to lay off employees because Tesla sales have reached the end of the road. Tesla was the best selling EV of all. Go to the UA-cam IT STARTED! The EV Market is WAY WORSE Than We Thought!
Resulting in multiple fires on US roads! ua-cam.com/video/8HpkDUWAKFM/v-deo.htmlsi=R2zN7b5W2CtT1Gfo
Thanks Kevin. Another gem. Should make things interesting.
Raimondo must be pulling her hair out when she hears of the Geely/Volvo case. Geely/Volvo better have top notch lawyers on standby as they can expect the Dept of Commerce to clamp down on this.
BYD has a team of patent lawyers. they won their case as defendant against Sony in Japan.
She is intellectually challenged coz she couldn't even know why Bulova moved to China. Now she's waging a personal campaign against China for it.
@@willengel2458that is incredibly impressive with how Japanese firms generally go after people regarding IP.
I've never wished upon someone so lose their hair, but for Raimondo, yes.!
She's having nightmares where everyone shouts Huawei, Geely repeatedly in her face.
GREAT INFO Kevin!!! Awesome! Volvo is looking more promising with each passing day...
You people should keep quiet.
Most Westerners don't know Volvo, Polestar, MG, and Lotus are Chinese owned. 😂
Agreed.
That's the only reason they are buying.. Most won't buy Chinese local brands.
wrg, no such thign as shoulx or etc, ceptuxuax, outx, can outx etc any nmw s perfx
We need NIO in the US !!!!!!!
Very interesting take on how Chinese TVs sell In US. Now I can lease/buy a low price good quality car made in China.
Take advantage of it while you can. Never know when the evil US lawmakers are going to do something to plug the hole.
Chinese teevees are available from Best Buys, Target, K-Mart, and most US electronic stores.
Don't buy XiaoMi though. Their TV sucks.
@@luisanthonychau same with their cars
I think Geeley own Lotus too so Lotsu should be sold tariff free in US too!!
It's more like 49% geely, 51% proton(malaysia)
@@donkeykong8792 Its the other way around Geely own 51% of Lotus while Proton own 49%
@@donkeykong8792 The Malaysian owner, DRB-Hicom, has sold off quite a large portion of its shares, right after Lotus' IPO.
Which means, Geely now owns Lotus with a much larger portion of shares.
More EV adoption in the US soon. Everyone likes a good deal no matter who makes it.
Very true. Nobody could resist cheap but good products. Nobody would care what the government does to "protect" local industry.
@@eugenec7130 Trade protection will only make US companies lazier and fatter.
@@eugenec7130 If they government is smart enough, Geely and BYD can bring a boom and tens of thousands of new jobs to the US EV industry.
But big oil companies control the US government! No EV allowed until all the oil in the world has been depleted
Where’s the free trade free market free competition as preached by the US itself (shame on the US)?
Preach Comrade 🇨🇳
Free trade when they have the advantage. National security risks when they don't
Free trades for Western Block is if there is no COMPETITION.... Hypocrisy
When you have had run out of any idea, you are likely to act and behave just like them. Surely this is the sign of things to come!
rules for thee, but not for me...
Interesting timing. Blinken visiting China right now is getting his posterior handed back to him
Volvo has another brand, Polestar, purely EV subsidiary. Geely also has Lotus and MG brands. Thus Geely has more opportunity than other Chinese EV brands overseas. Look like Geely has great foresight.
SAIC the Shanghai based carmaker owns MG.
I wonder if there are other small car brands that could be purchased and do the same workaround for the tariffs? There must be a ton of smaller car companies in Europe or the UK, but the trick is they have to have some us manufacturing to do the tariff trade-off.
Kevin, well done! I believe you are the first report on this afaik.
Geely also owns British carmaker Lotus. SAIC another Chinese carmaker owns Britain's MG. Stellantis one of Detroit's Big 3 owns a 20% stake in Leapmotor, another Chinese EV maker. So this is how Chinese carmakers enter the US market LoL
SAIC owns 9.98% of Mercedes while Geely's boss, Li Shufu owns 9.69%. Geely also has 50% share in Malaysia's Proton through which Geely plans to make cars for the ASEAN market and some other RHD markets. Geely has the Zeekr premium electric brand to compete with Nio and Tesla. Lynk & Co is a JV with Volvo and shares an engine and platform with Volvo and Geely.
Interesting development to say the least!
Americans are good at loophole applications.
Even more better to plug the loopholes with national security.easy.
We have a saying in my country "El que inventó la ley, inventó la trampa" loosely translated as "Those who write the laws write the tricks to get around them."
All the food on your table is my favorite.
The way geeley finagled and evaded the tariffs is quite intriguing. It's a boon to american consumers, but a bane to american car manufacturers, namely Tesla.
Glad its Tesla 😂😂
Tesla is getting too comfortable and complacent, so is Apple.
Its need cheap ones to tackle inflation, Chn EV better than SK (Its gave guarrantee on battery), Tesla too expensive..
The politicians too shy to admit the fact on public that they need those cheap very much 😢
@nikolas_5629 l watched a few vlogs/blogs mentioning certain South Korean EVs' brands the replacement costs for the battery are more than the original prices. If it proven to be correct, then they are doomed!
Nothing finagled. Volvo is _exporting_ US made cars. That’s why it’s allowed to import. Law is working as intended. Curious where Volvo cars are going though. Europe?
The great adage, "Payback's a b*tch!" comes to mind. Remember the two Opium Wars?
The crown approved the sales of opium to the Chinese... weakened the fabric and foundations of the society...told not to sell which started the war...akin telling drug dealers don't come here selling drugs, he comes with his buddies take over your house and the neighborhood...
Behind every sanction lies a business opportunity.
Volvo is popular due to its safety record in Texas due to high car accident rates. Insurance is expensive. We have so many Volvo cars on the road.
What happened to "Free Trade"?
It's only free trade if it benefits U.S .
Free trade only applies when the US and EU can sell their goods freely into your market
It was never called free trade. Not by US not China.
Great to hear that the US gets outsmarted 👏
Now I know why Toyota can drop the price on the new EV car selling in US leasing only $129 thanks👍
That was long expected, when I first saw the Geely’s copy of some European SUV in a Middle Eastern Oil rich country I predicted that way back then.
Regulatory wack a molle 🤣. Keep up the great work, love your videos.
Great. I'm buying it first chance I get.
same here
Go to China and have a test drive.
They have all kinds of models to choose from, and I mean, *_all kinds_* , even include those that fly.
China is counting on it.
I remember when Volvo was first sold to Geely,every news media was laughing at how Geely overpaid and will just lose money on Volvo.
How times have change.
Japan and USA just CANNOT handle China.. LOL 🤣😂🤣🤣
Given the fact that the US economy is booming and China is crashing I think the US US handling China just fine 😂
@@shanghaiffgg Really? US booming?? Then why US cannot pay back their debt then?
@@shanghaiffgg @shanghaiffgg Really? US booming?? Then why US cannot pay back their debt then?
@@calvinblue894 it seems you don’t understand economics and inflation.
@@shanghaiffgg LOL 🤣😂🤣 Simple question..you cannot answer..
China is the largest Creditor in the world, USA is the largest Debtor in the world..
Know this for a FACT!!! Get out of your Delusion..
Thank you for your sharing, especially the last 10 secs part. 😉
"you said it all man..."👈
When Volvo was a subsidiary of Ford, it was bleeding to death. Both Ford and Volvo. And then came the White Knight Geely. It rescued and restored Volvo back to health . Now the West sings a different tune....
If Geely/Volvo can avoid getting shut down by the US regulators Government ...
Then I expect Greely to field offers from Chinese EV companies to buy them out. To get that access
Really hope Tesla got the heat.
It will be good for competition & the user.
That's a good opportunity and clever ❤😂🎉😅😊
Good news for American comsumers then. So whars tge problem
Big 3 and possibly their Unions
@@fangzificationStellantis has a 20% stake in Chinese EV maker Leapmotor. This could be another route for Chinese EVs to enter the US market.
USA promotes free trade. USA shall not have 27.5 % tariffs on China BEV. When Americans get used to BEV that Good just has tariffs on China BEV.
# For the sake of reduce global warming.
Love it
I love the ending video of an array of great Chinese food!
I'd love to be a fly on the wall when Biden gets the news lol
Great video. Thanks.
Wow, how bizarre, but great news unless Congress screws Volvo.
I assume Volvo will be quiet about this.
We have had Saab’s and Volvo’s in the past and almost bought their gas version a few years ago, but its pricing was not competitive and switched to Toyota.
This would likely be a leader in the U.S. and more family practical than a Tesla whose lack of diversity of models is now a drawback.
Polestar would also likely qualify since they used to be marketed by Volvo in the past.
Other brands they own and U.S. consumers should be familiar with include the tiny SMART city cars, LOTUS, and some are familiar with Proton.
LOTUS-USA would seem to qualify. They state they will offer NEV's in 2024 made by Geely in Wuhan.
They also own Zeeker which would be cool to bring in.
Some of the MG's (popular in China) might qualify because of their collaboration with GM, though this is currently limited to manufacturing gas motors. MG is owned by SAIC Motor Corporation Limited which is State-Owned and they have a design shop in the UK. How ironic. GM would need to partner with their NEV side where GM in the U.S. has failed. Lots of possibilities if GM leadership is forward-thinking.
Ford’s in China are made by Changan offering possibilities if they could get their NEV act together.
Now if only BYD could figure something out or Mexico grows some “balls”. BYD has been building electric buses in California for a number of years.
Tesla's Elon Musk says that his Shanghai plant is the most productive in the world. He has built a second Chinese plant to increase his exports. That tells you something about competition by US companies. US companies, subsidized by the US government, will not be able to export to the world because of cost....why do you think all have subsidiaries in Mexico producing cars and trucks.
The US government subsidies help US consumers to buy 'Made In USA' cars that are not competitive worldwide.
Another note: Geely is buying a stake in Renault South Korea. If so, Geely cars made in South Korea won't suffer the onerous tariffs that direct exports from China would.
Mexico was supposed to gain from US laws by allowing Chinese companies to build factories in Mexico. Now that plan is dead because of US pressure. It seems the NAFTA agreement only applies to American companies.
tesla texas plant is in trouble for producing trucks with defects
I can imagine a lot of non-Chinese company’s will be looking at this closely. GM and Tesla spring to mind.
With acquisition of Volvo Geely simply tapped into most sophisticated engineering and design knowledge base of Swedish engineering powerhouse. And also worlds safest brand as well. Volvo is synonymous with quality.
not just volvo , other european brands want partnership with chinese ev companies to tap on chinese advanced ev n battery technology development n innovations.
@@nanyanguo1 yo, you right, it’s a Win-Win model. A symbiosis as we call it.
Genius
yes!!! we get geely/volvo EVs here in the US!
Watch them close those "holes" ASAP
Double standards is the GOLD STANDARDS in the US
Ok I am going to my local Volvo dealership soon to check out the EV lease deal 🙂
It's good to know the Chinese EV car entering the US market, however the price/quality ratio is still not that great. Polestar is a nice EV but way too expensive comparing to those purely in Chinese brands, namely BYD, Li, NIO ...
I have a VW ID.4, paid $53000 before $7500 rebate. It is a just ok car, however the price tag is mounting high. Should the Chinese EVs be present in the US market, I would have no hesitation to pick one instead of the ID.4 for good.
VW actually owns a stake in XPeng another Chinese EV maker. It's possible that XPeng could enter the US market through this route as a VW partner.
We I was in China last year VW where selling the ID3 for about $15,000
American elite: 100. American consumers: 1. And the elite and politicians still bitch about it.
Yep, no one hates America and Americans more than the elites in the west.
A smart inside man covering the inner workings of Chinese business, rare Intel thank you sir!
If there is a will there is a way.
If there is a crack, water can get in.
If there is a market, sell sell sell!
Thank you.
Loopholes are bout as natural and national to lawyers as to tax payers.
The final scene of food on the table is what I want lol.
Kevin with another great video
The shows are too short!!!
😅😅😅
It’s sound awesome 😊👍
Happy for Geely! We need the competition in this country.
5:08 Have a nice meal.😋😋😋
Washington will force Geely to divest Volvo.
And if Geely refused? Is the 51 state Canada of the US going to take on another kidnap job at the transit in the Vancouver International Airport again? -- If you can't beat them, kidnap the CFO of the company they cannot compete with -- no longer "joining them."
rather it will force Geely to be divested to american owned company Cos american keen to get its hand on chinese ev technology .
Tesla can do the same setup manufacturing in both US and China for battery and other parts. The thing nice about this is you can lease and try the car. The worse thing is you don't extend your lease.
the empire's homeland is a hotbed of shysters and short order cooks.
Short order cooks … CPAs cooking the books to get short term quarterly profits.
@@douginorlando6260 when Greece was in deep financial trouble, someone said, Goldman Sachs cooked the book for Greece, otherwise it won't make it into EU.
@@willengel2458 it happened. Goldman Sachs approached the corruptible Greek politicians and proposed to them the plan. GS make money by committing fraud. The lenders to Greece should have been made whole by Goldman Sachs and GS management should have been sent to prison. But his way Greece was forced to sell their national assets and infrastructure to the vultures. Also part of the plan
And GS got paid for doing it. They approached the corruptable politicians with the book cooking plan.
I'm sure Uncle Sam national security spell is being concocted by Raimondo giglely at the very moment for Geely .
Wow, thanks for informing.
I own the Volvo xc 40 electric in melbourne and love it!
5 minute video ? awesome !!
When they buy the car at the end of the lease, they will end up forfeiting the $7500 and IRS will be directed to go after the buyers. No doubt the government will eventually find ways to plug the loopholes. This is gonna get caustic
All Huawei and BYD needs to do is to set up their factories in Mexico, then, set up their own leasing wholesalers, produce the cars, and sell them to the leasing wholesalers
The leasing wholesalers will then lease those cars to the Americans
That's all to it
I think Marco Rubio will move the goal post to take away the 7k credit, and put new tax on Chinese cars.😅😅😅😅😂
Thank you
Yes, i'm sure the normal americans are getting worried that car prices are getting cheap.
i hv a geely for 3 yrs. Great car.
Kevin, do you think the US Congress can easily enact a new law or revise the existing law to plug the loophole, like they did it to TikTok?
Perfect & ironic
Chinese EVs is revolutionising global car industry. Well done China 👍❤️🇨🇳
Selling and buying are 2 different entities
You can drop a prices all you want but if no one takes up your offer then you are stuck with stock
Over capacity is driving price cuts
*GEELY is also the largest private INVESTOR in Mercedes Benz AG.*
btw, The dishes at the end of this video look very good
❤ !
Awesome! Maybe eventually get good swap stations in USA and solve range anxiety, high insurance, and over all safety through battery health monitoring! Plus get great resale with BAAS by Nio or partners because you don't own the battery. You lease it, like you lease gas everytime you fill up. Only instead of having to leave to fill up you just order up a battery swap at say 3am and come out in the AM next morning to a fully charged car! With a healthy battery!
The Volvo EX30 is 167 inches long. Tesla Model Y is 187. They are not direct competitors. The Model Y is larger and should cost more. Surprisingly, the Model Y is only slightly heavier.
Didn't geely reduced the shares in Volvo by significant bit
Be careful. DoC may limit the spare parts once they catch on to this. Repairs will suffer.
If Geely wants to sell their car for $35k, i doubt they have any price advantage because many gas cars in America are selling for less and even Hyundai are selling their car close to $36k.
Where is Geely storing its camera data ?
I wonder when Geely is coming to Canada?
I'm not sure that's how it works. The Chinese made EX30 will definitely get the new 100% tariff. In fact Volvo is thinking if making the EX30 either in Ghent or in South Carolina to avoid the tariff for US bound EX30s. The Volvo EX90 was always designed to be manufactured in South Carolina for US. Now Volvo will need to add the EX30 in their assembly line. BTW, I'm currently leasing the Belgium manufactured C40, which I will need to turn in early 2025. I am closely watching the EX30 saga to see if it's worth it.
I like the Geely price point but what about quality? Will it last 10 years? Time will tell.
Man it is WIN WIN and WIN ! Like Dr. Spock would say Go forth and prosper !
AFAIK this method of implementing a strategic partnership is a fully acceptable way to enter the US market and not something sneaky or underhanded as presented. The US has always supported trade and imports that compete on an even playing field and Volvo's history as an established car brand should mean compliance with US regulatory requirements Chinese manufacturers are not used to.
In any case, it'll be interesting to see if the new price points have any effect. The referenced Carlsbad Volvo dealer is in the heart of Southern California, a hotbed of EV adoption. Sales would be very strong there but EV sales are down substantially across the rest of the US. If these cars actually sell successfully in the US, it would mean the down market is more the fault of the manufacturers and not consumer adoption.
Volvo built manufacturing plants in China so that Geely could maintain quality that's the same as Sweden factories. If Geely didn't have to compensate Volvo, the price would be much less than 35K.
When there is a Will, there is a Way!
The Lincoln Nautilus EV sold in the USA is also made in China (but imported through Canada), but shhhhhhhhhhh!
Free market? What a joke. Some wiseman once said, if you can’t beat them, ban them.