Personal Finance Topics / Macroeconomic Trends and Risks
No. of Recommendations: 15
Trump’s social media account said the president is placing tariffs of 10% on all goods from the countries currently protecting Greenland after February 1, and that the tariffs will increase to 25% on June 1. The post says the tariffs will be in effect “until such time as a Deal is reached for the Complete and Total purchase of Greenland.”
Where is he thinking he’s going to find the money for “the complete and total purchase of Greenland?” And besides, the countries involved—Denmark, Finland, France, Germany, the Netherlands, Norway, Sweden, and the United Kingdom—are all U.S. allies. Economist Justin Wolfers notes this trade war will include the entire European Union, for “[a] trade war with one EU country is a trade war with the entire EU.”
The post also makes explicit that Trump is trying to use tariffs not to nurture the American economy but to force other countries to do his bidding. The question of whether his tariff wars are constitutional because they address what he claims is an economic emergency is currently before the Supreme Court. Two lower courts have found that the president does not have the power to levy the sweeping tariffs he has been announcing. Today’s tariff announcement does not refer at all to economic need but rather is about economic coercion.
Meanwhile, lawmakers in the EU say they will not ratify a new trade agreement the European Commission and Trump signed last July. Some lawmakers are talking about using a trade “bazooka” against the U.S., a range of measures outlined in the E.U.’s Anti-Coercion Instrument that punish trade rivals trying to coerce the E.U. Those include trade restrictions and restricting investment in the E.U.
Finally, in its insistence that only the U.S. can “protect” Greenland, an echo of Russian president Vladimir Putin’s promises to “protect” Ukraine. Ignoring the reality that Greenland is part of the North Atlantic Treaty Organization (NATO), the world’s strongest defense alliance, it said that Greenland and Denmark, of which Greenland is a part, “currently have two dogsleds as protection, one added recently.” It also added that the protection Trump insists only U.S. ownership of Greenland can provide might also include “the possible protection of Canada.”
In the mean time, Prime Minister Mark Carney of Canada visited Beijing this week, the first visit of a Canadian prime minister to China since 2017. On Friday, Canada broke with the U.S. and struck a major deal with China, cutting its tariff on Chinese electric vehicles in exchange for China’s lowering its tariffs on Canadian canola seed. Carney posted on social media: “The Canada-China relationship has been distant and uncertain for nearly a decade. We’re changing that, with a new strategic partnership that benefits the people of both our nations.”
Jeff
No. of Recommendations: 11
In the mean time, Prime Minister Mark Carney of Canada visited Beijing this week, the first visit of a Canadian prime minister to China since 2017. On Friday, Canada broke with the U.S. and struck a major deal with China, cutting its tariff on Chinese electric vehicles in exchange for China’s lowering its tariffs on Canadian canola seed. Carney posted on social media: “The Canada-China relationship has been distant and uncertain for nearly a decade. We’re changing that, with a new strategic partnership that benefits the people of both our nations.”
Oh it’s so much more than that, it’s the camel’s nose in the tent of trade and investment between the two countries.
While the US was at first fearful of Japanese cars, we found that bringing their production to the US created tens of thousands of good paying jobs. There are plants by Toyota, Honda, Nissan, Kia & Hyundai (Korean) and others throughout the South paying good wages and supporting local economies.
Now let’s ask, which country is China most likely to invest in and build an auto manufacturing facility in? Oh sure, China will hem and haw and prefer to keep all the production in China and ship cars by the thousands and offload from a boat, but within a few years they will be announcing plans to build factories and cars, and employ locals and source materials locally, and given what I've read about the Chinese cars, they will be successful.
How many Chinese manufacturing facilities do you think will be built in the US?
Let’s take a poll:
A: zero
B: 0
C: None
No. of Recommendations: 1
How many Chinese manufacturing facilities do you think will be built in the US?
Let’s take a poll:
A: zero
B: 0
C: None
You forgot "D: All of the above."
;)
Pete
No. of Recommendations: 1
Those include trade restrictions and restricting investment in the E.U.
Do you have any idea what is meant by restricting investment?
IP
No. of Recommendations: 3
How many Chinese manufacturing facilities do you think will be built in the US?
Perhaps the question should be how long will it be before the Canadian Ford, GM and Stellantis plants are retooled for production of vehicles of Chinese brands.
IP
No. of Recommendations: 4
The following rather long post first discusses the recent technical battery and autonomous driving advantages (including the quaintly named "God's Eye") of just one of the dozens of Chinese EV players as well as the legal restrictions against importation of that (and other) technology. I can imagine a day when the cars which Canadians take for granted ()and which could potentially be re-exported to our other trading partners) will offer spectacular advantages over those available in the US.
Jeff
As of early 2026, BYD has cemented its position as a global electric vehicle (EV) leader through major, rapid advancements in both battery technology (Blade 2.0, 10C charging, solid-state roadmap) and autonomous driving software ("God's Eye" ADAS democratization). The company is actively moving to integrate its "God's Eye" intelligent driving system across its entire, including budget-friendly, vehicle lineup.
Here are the key recent BYD advances:
1. EV Battery Technology Advancements
Blade Battery 2.0 (2025): The second-generation Lithium Iron Phosphate (LFP) battery is being rolled out with 40% higher energy density (reaching up to 190-210 Wh/kg), enabling ranges up to 1,000 km. It is more compact, lighter, and safer, withstanding temperatures over 300°C.
Ultra-Fast 10C Charging (2025/2026): BYD unveiled a "Super e-Platform" with a 1,000 kW (1 megawatt) charger, capable of adding 400 kilometers of range in just 5 minutes. This is enabled by 10C-rated, upgraded Blade Batteries.
Solid-State Battery Roadmap (2027): BYD is developing sulfide all-solid-state batteries, achieving 400 Wh/kg in testing. Small-scale installation is planned for high-end brands (Yangwang/Denza) between 2027-2029.
Cell-to-Body (CTB) Technology: This integration technique combines the battery into the car's body structure, improving rigidity (40,500 N·m/°).
2. Autonomous Driving and Smart Software
"God's Eye" ADAS System (2025-2026): BYD is making advanced driver-assistance systems (ADAS) standard on models priced over 100,000 yuan (~$13,600), previously only in premium, >$30,000 cars.
Full-Line Integration: By the end of 2025, over 2.3 million BYD vehicles are expected to be equipped with this system, which offers highway navigation and automated parking.
AI-Powered Driving: The system uses NVIDIA DRIVE Orin and Horizon Robotics chips, with capabilities scaling from basic L2+ to high-end "no-map" urban navigation.
4-Motor Independent Drive: The Yangwang U8 features a system allowing for 360-degree "tank turns" and independent control of each wheel.
3. Key 2025-2026 Performance Metrics
Record Sales: BYD surpassed 10 million New Energy Vehicles (NEVs) produced in late 2024, becoming a global leader, with sales over 500,000 units in October 2024.
Massive Data Training: BYD’s smart systems generate over 150 million km of assisted-driving data daily.
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The U.S. has enacted rules, primarily through the Department of Commerce, effectively banning Chinese software and hardware in new connected cars, citing national security risks like surveillance and data theft, with software restrictions applying to model year 2027 and hardware to 2030 vehicles, impacting both foreign and domestic automakers by requiring supply chain shifts away from China and Russia.
Key Provisions:
The Rule: Officially the "Securing the Information and Communications Technology and Services Supply Chain: Connected Vehicles" rule (DoC 791D), it targets technology from "covered countries" like China and Russia.
Software Ban: Prohibits software for vehicle connectivity and automated driving systems from these countries, effective for the 2027 model year.
Hardware Ban: Extends to hardware components like chips, sensors, and communication units, starting with the 2030 model year (or Jan 1, 2029, for non-model year vehicles).
Scope: Applies to passenger vehicles, motorcycles, and RVs under 10,000 lbs, preventing sale of any connected vehicle using banned tech, even if assembled in the U.S..
Reasons for the Ban:
National Security: Fear that connected cars, with their extensive data collection (location, driving habits, etc.), could be used for espionage, mapping critical infrastructure, or remote disabling by foreign adversaries.
Supply Chain Control: An effort to reduce reliance on China for critical automotive technology and bolster U.S. industry.
Impact on Industry:
Compliance: Automakers (OEMs) must find new suppliers and demonstrate compliance through annual declarations.
Market Access: Effectively blocks Chinese-made connected vehicles and technology from the U.S. market.
Enforcement: Non-compliance can lead to significant civil or criminal penalties under the International Emergency Economic Powers Act.
No. of Recommendations: 0
How many Chinese manufacturing facilities do you think will be built in the US?
Before--or after--Spankee is "cut in" for a piece of the "pie"?
Once signed, Spankee gets "eliminated" from the deal (standard Xi practice).
No. of Recommendations: 0
Hardware/software bans? Tik-Tok, Tik-Tok....
