The US has (has?) a huge tarriff, something like 200%, on Chinese EV's. This in theory would be good because it gives American manufacturers a chance to catch up and giving them a huge advantadge for selling to American customers.
in practice, it didn't work because the US really can't decide where it wants to go with EV's. Fighting over standards, some trying to keep holding things back to sell ICE vehicles, etc. Inflation also didn't help, so a lot of cars just blew up in cost. So because of the indeisive industry, the tarriff is just a safeguard instead of an opportunity.
> This in theory would be good because it gives American manufacturers a chance to catch up and giving them a huge advantadge for selling to American customers.
That's the tired old 'infant industry argument'. It's just as bad now as it always has been. Compare also Brazil's ill-fated attempt at creating a home-grown computer industry.
> in practice, it didn't work because the US really can't decide where it wants to go with EV's. Fighting over standards, some trying to keep holding things back to sell ICE vehicles, etc.
I'm not sure who you mean by 'the US'? Producers and consumers of EVs should make their choices.
> Inflation also didn't help, so a lot of cars just blew up in cost.
Inflation is a general rise of the price level. If both input costs and prices you can charge to customers go up in proportion, inflation doesn't make a difference. Just like moving from metres to yards doesn't make the distance between London and Paris larger.
in practice, it didn't work because the US really can't decide where it wants to go with EV's. Fighting over standards, some trying to keep holding things back to sell ICE vehicles, etc. Inflation also didn't help, so a lot of cars just blew up in cost. So because of the indeisive industry, the tarriff is just a safeguard instead of an opportunity.