China's relaxed rules on foreign car makers are good news for EVs

From Engadget - April 17, 2018

Whatever the motivations, it's good news for at least some EV brands.It wo not make much of a difference for American brands that already have joint ventures, as backing out could be costly and hurt their access to the market.However, it could be a major victory for Tesla and other EV builders that want to establish Chinese factories, but do not relish the thought of a forced alliance and the potential loss of trade secrets that comes with it.Elon Musk had floated the idea of equal trade rules for cars, but he might not need to argue for them now.

This is not likely a selfless gesture.China has a much stronger position in the automotive market than it did several years ago, and not just because of those existing, hard-to-untangle partnerships.Geely, for instance, is an international powerhouse -- it owns Volvo, Polestar, Lotus and Lynk & Co, so it's likely to weather new competition.Other companies have had the advantage of years of protection, too.


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