Recently, Musk made a bold statement at a Tesla earnings call: China's car companies already have strong competitiveness, and if there are no trade barriers in the world, these car companies will easily beat most of the world's car companies! This is not a casual remark, what kind of confidence and basis is behind it? Let's find out.
First of all, we have to admit that Musk's words are not groundless. As the world's largest automobile market, China has made remarkable achievements in the field of new energy vehicles. Chinese automakers have gradually established a competitive advantage with their keen insight into the market, rapid follow-up of technological innovation, and large production scale. In terms of electric vehicles and intelligent driving, many Chinese brands are at the forefront of the world.
Let's talk about tariff policy and trade barriers. Tariffs, a seemingly inconspicuous number, have a huge impact on international trade. Rising tariffs mean higher prices for imported goods, which can lead to consumers choosing local products. Conversely, lowering tariffs or eliminating trade barriers will make foreign goods more competitive and stimulate the development of international trade.
Think about it, if tariffs and trade barriers do not exist, it is entirely possible for Chinese car companies to become the dominant players in the global auto market by virtue of their cost-effective advantages and innovation capabilities. However, this also requires continuous efforts by Chinese car companies in brand building and international market development.
Of course, then again, this does not mean that other country car companies have no opportunities at all. Each car company has its own characteristics and advantages, such as the craftsmanship of German cars and the cost performance of Japanese cars. Moreover, the market demand and consumption habits of different countries and regions are also different. Therefore, the competition in the automotive market will definitely be more fierce and diversified in the future.
Although Musk's remarks are somewhat bold, they are not entirely unreasonable. It reminds us that in the context of globalization, car companies from all countries should seize opportunities, give full play to their advantages, strengthen cooperation, and jointly promote the progress and development of the automobile industry. Only in this way can we remain invincible in this highly competitive market.