Trump Presidency Would Push Chinese EV Makers Further Away -- Market Talk

Dow Jones11-06

1004 GMT - A Trump presidency would likely push Chinese electric-vehicle makers further away from the U.S. market, Wedbush analysts write in a note. Under Trump, the U.S. will likely have higher tariffs against China goods, which would continue to push away Chinese EV makers such as BYD and NIO and prevent them from flooding the U.S. as cheaper alternatives, Wedbush notes. EV tax incentives will also likely to be trimmed, Wedbush says. Overall, this would be negative for the EV industry, but should give Tesla a clear competitive advantage because of its scale and scope, which is unmatched by smaller rivals, Wedbush adds. Investors will focus on autonomous-driving initiatives as Tesla competes with China's own timeline for developing the technology, Wedbush says. (kimberley.kao@wsj.com)

(END) Dow Jones Newswires

November 06, 2024 05:04 ET (10:04 GMT)

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