There's concern China is building significant overcapacity in the auto sector: CFR’s Michael Froman
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- เผยแพร่เมื่อ 28 ก.พ. 2024
- Michael Froman, Council on Foreign Relations President and former U.S. Trade Representative in the Obama administration, joins 'Squawk Box' to discuss the security risks posed by China, the auto competition between U.S. and China, and more.
Michael Froman uses a lot of words to say very little. This interview could have been one minute. Here’s the summary: the US government will keep tariffs on BYD and other Chinese EVs, regardless if they’re the best choice for consumers.
simple rewording. US government should choose what you drive for you own good. sounds familiar?
LOL I think China can just use that over capacity to make drones and tanks.
The next thing to flood the market will be the Chips.
True. I could put his message in three words; Dont Trust China.
>> , regardless if they’re the best choice for consumers.
China's automakers don't want to be involved in the toxic US auto market, China has enough other world markets
“National security concern” is an euphemism for protectionism.
Remember when the Japanese brought their cars to the U.S. in the 1970's? Tariffs will only slow the process a little but won't stop it.
It's the same playbook; force the government to help delay the effect so that the big 3 can catch up...even though they have had all the reasons and time needed to "innovate".
Dear Americans, ty for that information, but our carmakers do not have any plans to the US, thank you
@TH-dr1kg if what you said it's 1% true, US government won't be so panic today
Okay. So nothing to worry about. You can go back to sleep now. Pathetic ignorance!
@Mapletibitz yea, that is exactly why people don't buy american cars
GM has made huge tons of money in China for years. But now Chinese EV brands cannot be allowed to compete in the US market. This is called ‘American free trade’.
Free trade with china? Are you smoking crack?
The game is rigged on both sides. There is protectionism happening. Can you blame either country?
You mean the GM that was forced to "partner" with a local Chinese firm SAIC then had all its technology stolen over the course of two decades?
China let foreign companies historically in only as joint-venture, which consequently unfortunately lead to massive knowledge transfer (for free) to the automotive sector in China. They would not be where they are without VW, GM and others car manufecturers outside of China. And being 50-50 join venture chinese made tons of money of it already by now as well. Believe me I worked for one manufacturer and also some time in China. Your argument is not accurate, tariffs in this case is smaller limitation than mandatory JV creation imposed by the government. Chinese are good in playong these games where they do not levy tariff but they will create other “obstacles” that are not as visible straightforward like tarriffs. We should wake up, tariffs are justified considering what I summarized above.
@@tomaskoranda504You can also make the same rule as China! Use joint ventures for China to enter American market.
translation : We have been asleep at the wheel, now we cannot compete.
USA propoganda against China. Because can't compete with them😂😂
Hard to compete with slave labour
@@shaunh2015 Yeah, that's how the U.S got its start.
@@shaunh2015slave labor? Lmao..I can’t believe there are still people believing China is using slave labors in 21st century…Us western media has done such a great job brainwashing their people
China is not thinking about US market yet, but the Americnas are already freaking out.
Well, if the US required our country open our internet, our country freaking out too
Why should the U.S. treat people differently than our companies and governments are treated. They protect themselves and we should just be open to everyone and everything. If l were European… I wouldn’t allow it.
The reason why Chinese arw not planning to come to US is that very discussion they are having. You are confusing reason and consequence here my friend, no offense.
>> China is not thinking about US market yet, but the Americnas are already freaking out.
@@tooltalk did you get a chance to search the news about BYD and NIO has no plans to the US?
The Big Three are dead and have been dead for years with the exception of Puckups and SUV but this last labor agreement is the nail in the coffin. RIP
No one outside redneck states want their cars, period,
your mom dropped you on your head!!! majority of their cars sold are Trucks and SUV. I see how bright you are Rocky.
Absolutely NOT, actually GM doing great in China
Not surprisingly, the United States is now entering a period of the New Cultural Revolution.😅
This is hysterical. Deep rooted fear of competition from China.
The big three automakers are basically a government utility. That’s why they lack ability.
BYD is a great brand. The US doesn't want a free market
>> The US doesn't want a free market
BYD is garbage little do you know about cars. they are a flop
Byd best affordable car
Google is a good brand. China doesn't want a free market.
@@enjoythedreamlife5658lose ur Job to Chinese huh 😂
Joe is correct. Ford’s Lightning and Mustang Mach-E are rotting away at dealerships. Their EVs are too expensive
I'll give you two guesses why, but you're only going to need one
Too expensive? More like lagging in tech
and quality problem, there are videos from the owner about 2024 ford car have problem.
Tarrifs will not make you more competitive on a global scale
US politicians: "Quick, the Chinese cars are coming, we got to do something..!!"
Mike Gallinger: "Guys, slow down, we have a last card to play, national security"
I guess Tesla don't have computer chips in them.
I even heard they said Chinese garlic is still national security threat laughable 😅😅😅
Mr. Froman supported the measure of US car dealership not too long ago saying, as the voice of customers, that US car consumers do not want EV's; that means we should have nothing to worry about as no one would want BYD EV's. Not sure why he's now speaking out of the other side his mouth. The only way to make sense of his actions is to appreciate that the goal is to protect the big 3...at all cost.
Nothing wrong with them, our country China protects their industries even more
I WILL NEVER OWN A CHINESE MADE CAR! NEVER EVER!! THEY ARE POORLY MADE AND EV'S HAVE NOT PROVEN THEMSELVES. Buyer Beware
@@enjoythedreamlife5658ppl will buy ev cars. Like it or not, china ev's are years ahead of thr competition. The u.s govt knows they can't compete right now with china EV industry, so they have to come up with every excuse imaginable to protect u.s auto makers
@@dnn32 good go buy the crappy cars. cheena is falling apart
@@dnn32 you mean the junk yard dollar store crap
When you are behind: security risks
When the west floods chinese market with their products no one complains. When try to do the same everyone complains😂😂😂
Consumers care only about quality and price
I personally prefer to be able to swap my EV in a matter of minutes. Let NIO enter North America!
poor American customers ; they don't realize they actually live in an open prison that government control which car they can buy , and have to pay 3x higher price for Top 1%
so true
US consumers are going to pay more because of all the inefficiencies of the big three and UAW.
There is no Free Trade in USA but In China all brands treated the same that is a free trade
>> There is no Free Trade in USA but In China all brands treated the same that is a free trade
wrong data, I know the source: those channels that made fantasy news about china. many foreign battery manufacturers are in china, you can search yourself. but they all are small compared to BYD and CATL, that's why they are not in the news. IF their products are superior, all car manufacturers will lining up to buy their products.
my comment above is answering tooltalk.
second thought: ow, it's you again, still living in fantasy world.
@@YSKWatch let me drink your tear! cry more.
@@tooltalk you're so happy living in fantasy world, keep it up...
(I'm wondering if you are part of their team or you are just a useful tools for them. or maybe you lack of capability to gather opposite information and draw an objective conclusion).
Tesla is the only U.S. brand that been unrestricted head to head competition with all Chinese auto brands in their home country for years now!😊
China should put sanction in Tesla . Both can play this games
It's not about affordable cars for consumers is wild 🙆🏽♂️ and the best product should always win.
This is when you realize most of the accusations America makes about china are demonstrably false, and have been for over a decade now. They constantly tell us china is about to invade Taiwan, although china historically hasnt invaded anyone. Meanwhile, we invade a different country every other year lol. Our corrupt leaders are getting exposed
The self-proclaimed "most powerful country in the world" is terrified of China! 😂😂😂😂
The big three runs the auto industry in the US. The consumers pay the high prices 😢
It is laughable that US preaches market freedom, globalization and when they can’t compete comes with all sorts of trade barriers. They did in 1980’s against the Japanese now with the Chinese and then maybe India (still needs to see if Indians can be a dominant player in any high end value chain)
hey people, just don't charge your phone in the car. It's national security!
Why are the prices of Chinese cars so low? Because China is the most competitive market for cars in the world. All cars in the world need to compete in China. Therefore, industrial advantages have gradually formed. But more and more Western countries are using protectionism, which has led to What comes is not competition but protection.
Not trying to complete with slaves. Good thing we make the rules.
The chinese automotive base was built by Europeans and Americans through governemnt mandatorx joint ventures. China should be bowing and thanking for it, if europe or US levies tariffs or create other obstacles it has a right to do so. China was handed the automotive market. Its not like they created it from thin air by themselves.
@@tomaskoranda504American and European automakers made huge profits in China. They didn’t do it out of kindness.
Ignorance is not your fault, but slander is.@@ryanwalters6184
@@tomaskoranda504 thank for who? Do you know how much money your car company has earned from us? If you don't win in competition, find your own problems and don't blame others.
You know things are bad when Tesla is considered the best. Yikes
Why do China wants to build EV factories in Mexico when there's overcapacity in China?
NAFTA
“Where have you seen the Big 3 innovate in EVs, in 10 years?”
BYD is not only better its also much cheaper. BYD was originally a battery company and the main component is the batteries.
America needs economic affirmative action
Serious question; does anyone including his family actually like Joe?
Because he's not liberal? He had the correct stance in this video.
Better disconnect my washer and dryer from my phone app😂
Don't wear shoes. China can put chips in your shoes.
start sending pigeon message.
Disconnect your computer, phone, refrigerator, keyboard, mouse. All have Chinese products inside.😅
It couldn’t be more hawkish
How come China still has a lot of tesla? They are not scared? 😮
Froman seems to ignore Tesla, a U.S. car manufacturer in this discussion!😮
Sounds like the "IT"S AFRAID!" moment in Starship Troopers. How sad.
You can see how many CCP bots are in the comment section.😂
Feels like Americans are scared shitless of China 😂
Japan had capacity to supply the world outside the West, and so will China. It's capacity is needed to supply the world even if the West tries to block it out. As to national secrurity of the US, this line is getting old. Whatever does not suit the US in any civil, tech, or defense sector, it will be called a national security. Does the world believe it, is a better question.
Nobody outside of US believe the US propaganda anymore.
I'm a British petrolhead living in Shanghai, and I've just bought my first Chinese car, the new Haval Raptor PHEV, and it is absolutely amazing, and at an unbeatable price. You guys are missing out!
Good for you
When they cannot compete, they change the game! 😅🤡
Examples: TSLA vs BYD, Apple vs. Huawei, Facebook vs. TikTok, Amazon vs. AliBaba,Shein,Temu
But our country protecting even more than the US though , for the god sake do do this comparisons anymore, you just embarrassing
Let me tell the truth! US is impossible to support new energy vehicles in any country! This is completely inconsistent with the interests of the American petrochemical industry!
Overcapacity? This is called competition, isn't it? If you can't make cars as competitive, you lose. What happened to the so called "free market" that US had been promoting in the past? Oh right, I forgot it's actually "free market when I need it".
Why does the US not build "over capacity". The consumers sure could benefit from lower prices
Auto workers on strike is a bigger risk. Cant compete with people so use tariffs
This reminds me of Japan bashing in 80s. Dejavu. When the US can't compete, the belief in free competition goes out of the window. But China already studied what mistakes Japan made so it will not fall into the same US trap
When China was making shoes and Tshirts the west never complained about “overcapacity”
We urgers the United States to address the overcapacity of banknote printing machine.
Nio the only battery swapping car out on the market China is not playing they running circles around USA
CHINA should be more worried because there are many iphone tesla and gm sold in CHINA
If the big three can’t handle competition from China, assuming the Chinese government is not interfering/ providing undue support, they should not get any unreasonable support - they have failed to innovate for years and should pay the price.
The big 3 has received much more govt support. Cash for clunkers comes to mind.
Worried about BYD and NIO
It’s not a security issue but 100% economic and the lack of competition here makes the US consumers the real losers. China invited American companies to invest and sell their products but we put up barriers for them to do the same and make up all sorts of excuses on xenophobic rhetoric
>> It’s not a security issue but 100% economic
It’s not a bad question except what did china do to the US to make it an unfriendly country? We’ve mutually benefited from bilateral relations for decades and now we force the “bad actor” label on China now they want to sell more than cheap products. Quite honestly what we’ve done to them is far more belligerent in nature and they had common sense to separate politics from good economic policy.
@@dansun83 >> we force the “bad actor” label on China now they want to sell more than cheap products.
@@dansun83 >> did china do to the US to make it an unfriendly country?
Man the bots here are crazy
I don’t think the US government is simply cautious about Chinese cars simply because they are Chinese but because of concerns of the Chinese government and fundamental mistrust. The concern is security as the bottom line. The same reason that China banned Facebook and Google.
But Ford and GM are making cars in China. Should China also ban these US car brands amidst the US-China tension?
China has never banned Google. Google withdrew from China voluntarily because it did not want to comply with Chinese law. Google was available until 2010.
Even with tariffs the Chinese brand still cheaper. I don't know the problem is on them or on our car manufacturer management.
Basically what he is saying, how to find a reason for American to buy more expensive cars from the big three.
Digital cars are best form of espionage. All data of locations and related information can easily transferred.
Ty for that information, our carmakers do not have any plans to the US
There is no over capacity of Chinese goods. The world, especially the poor people, needs cheap and high quality goods from China. The G7 countries are just afraid that they cannot compete with China economically.
No way in hell I will ever buy a Chinese made car. May be good or maybe bad it’s up to debate but personally not for me
don’t worry ,our carsmakers do not have any plans to the US though, probably never will
And you are who, again?
Its not you but your racist mind is working hard.
@@DineshTwanabasu maybe he meant he can’t afford any
@@kenyup7936 yes or may b he will get america or western over priced car at EMI
any such device found yet? US freaking out for nothing
The same risk exists with Tesla vehicles also.
"you think competition would make them better?" LOL. How do you get CNBC to start questioning capitalism? Mention China.
So many chinese bots this is crazy
And you are American addbots 😂😂😂
Good. Maybe a pickup will come down from $100k for a half ton
Protectionist policies again at the detriment of the consumer
The latest list of US security concerns: Garlic, electric cars, weather balloons, fridges, coffee machines, cranes, subway cars, students, Confucius Institutes, Huawei, and TikTok.
Even if US banned China's EVs, China will sell EVs to the Global South states.
Best solution seems that US automotive firms establish capital alliance with China's firms. This will polish US' capabilities of broad fields of manufacturing sector. Technologies needed at EVs will help improve other products made in America.
Froman is probably using an Apple phone that was manufactured in China.
not anymore, it's made in india atm
@@kenyup7936with parts shipped from china.
@kenyup7936 Over 90 % of iPhones are still manufactured in china . The other 10 % are manufactured with parts from china.
📞🤡 You are more likely to be using a landline phone than a mobile phone that happens to be manufactured in the USA. 🇺🇸
Why?
Because economics: #ComparativeAdvantage
Allan Greenspan on monoply and antitrust policy in 1961.
Compete not fear
Wow..perhaps before having a discussion about EVs the panel should do a bit of homework.the guest was the only subject expert on the panel
Over capacity to more than 1.4 billions people. The world don't owe you a living to you.
This is called “ Bully “
The USA is the leader in technology. How can it be so difficult for them to build better EVs than the PRC. If costs are the problem, then build the EV in Mexico and Canada where labour is cheaper. Or help subsidise US labour costs.
>> How can it be so difficult for them to build better EVs than the PRC
Joe Kernen is out and out bonkers!
Google,TH-cam and Microsoft Windows are overcapacity
China is not interest in overcapacity. Like any producer it wants to sell what it is producing. But if China can produce cheaper than the US and get's those cars sold, is that overcapacity? They both subsidize heavily the sector. But over expensive EV's will be left with stock they cannot sell. So who is committing overcapacity?
It's not about the consumers It's not about efficiency ~ The Government 😅🤣😂😢
Yep, and China is all about consumers and efficiency. 🤣🤣🤣🤣
China is about competition, that's why in their market you can have any car brand from any country. China is very efficient when it comes to manufacturing cars and very good consumer pricing. Wake up
Yes there is security concern so much so when you eat garlic from China your conversation will be relayed back to China. 😂
national security? how convenient is that!
Sounds more like political than reality arguments when talking about buying China made cars.
US GDP has a huge portion in service, such as, accounting service, $1000/hr attorney fees, insurance, hedge fund/trading, etc that are NOT producing real value. Where are the REAL productivities for USA?
War and the MIC
I am looking for a good 1967 Mustang!
Chinese market saved GM and Ford form collapsing, now US return this.
Cars are now digital so they are as much a national security threat as are mobiles. US and Europe would be dumb to allow Chinese electric cars.
😂😂😂 …. China don’t need US market. Can you say 1.4 billions customers in China market
An Indian saying this is not surprising lol
Why there is no concern from China that so many Chinese use IPhone?
The Chinese should ditch their iPhones. But then the US also has issues with that especially when the CPC seems to endorse Huawei. Now, people should know that the US is the real DICTATOR in global capitalism. They don't follow democracy in trading.
Time for China to make changes.
the Chinese government have banned iPhone from every state owned company and related companies. They have banned telsas from goverment areas, and have required all auto manufactures to parent and tech transfer to local companies. China is one of the most protectionist countries in the world.
I agree with joe on this
The Big 3 US car manufacturers are dead price wise outside of North America.
Absolutely NOT, GM actually doing great in China
@@kenyup7936 GM stock is 40 Toyota stock is 240
@@southrichmondtofl dude buy low sell high, imo buy japan stocks is risky atm because they’re in their all high you know, in addition GM has leveraged ,even though autonomous driverless project Crusie was suspended in the US, compared Toyota its tech seems more advanced imo
With China out of the picture in the US because of tarifs, Tesla is only going to take more sales from the big 3.
@@kenyup7936 GM doing great in china are from joint ventures. Those GM cars are locally manufactured with chinese labor and parts.
Investigate Teslas too. They install Chinese applications on your Tesla too.
nope, their cars are made in USA not China
@@kenyup7936 Look closer at what the software allows.
@@kenyup7936 lol, go check Tesla Shanghai Factory's production
Would you please enlighten us or at least name one Chinese "application" that is being installed in Tesla vehicles?
@@platoscavealum902 As an example, TikTok is automatically installed on Teslas. It is a security risk.
free market, isn't it?
Go back to sleep Joe, please.
Americans good for you, we Chinese are buying Corolla 10K USD
You should not be mocking anybody, Americans, Europeans and Japanese created your automotive industry, you should be eternally grateful to these nations not mocking them. I believed Chinese culture to be better and wiser than this I see here with this your example. You should be ashamed for that statement and I hope you are.
I was not mocking anyone. Buy made in America, MAGA that's good for American right? Just a little bit premium to pay no big deal， America is a rich country.@@tomaskoranda504
"We do this many time" 😅😅😅😅 American leaders are obssess against china and so insecure. American on EV are not winning and they are fighting against by using american market. Sad! Americans are not playing the same field on which they made. Fair competitation!!!