this post was submitted on 19 Sep 2026
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Volkswagen has made a ton of dumb mistakes, but among the worst are paying union wages and not getting super cheap lithium batteries from being located in a country that has a well integrated supply chain.
We don't want to mine or refine lithium as much in the EU because "boohoo muh environment" but really, if we want to compete with China we can't let the environment be a deciding factor. Mine and refine all the resources we need instead of buying them from China and letting them dictate the prices. China doesn't give a fuck about small issues standing in its way and neither should we.
"We can't let the environment be a deciding factor" is a preposterous take. There's practically nothing more important that preserving the environment. Even the Chinese are looking beyond their borders for raw materials these days. If it costs more to extract raw materials in a way that doesn't fuck up the environment, then subsidize it and pay for it. We can fund the subsidies with a carbon tax.
It's not a preposterous take for China. They do whatever it takes to win and it shows. Lower wages, less considerations for the environment, etc.
Everything we care about has a cost. If we want the cheapest possible EVs, which most people here seem to want, then we need to ignore everything else. So you decide. Do you want super cheap EVs, or do you want good working conditions and limited pollution? And if it's the latter, tariffs on Chinese EVs make sense because they do not adhere by the same rules.
I want the latter, and tariffs are not the only way go about protectionism. There is also subsidization, which is how the US has maintained its defense and agriculture industries. If we want stuff made domestically, we're going to have to pay for it. Subsidies are generally preferable to tariffs because they can be paid through progressive taxation instead of regressive taxes on consumers.