BYD’s Seagull Threatens U.S. Auto Industry: AP

A tiny, low-priced electric car called the Seagull has US automakers and politicians trembling.

BYD, which stands for “Build Your Dreams,” could be a nightmare for the US auto industry with the release of the Seagull. I BYD North America Facebook

The car, launched last year by Chinese automaker BYD, sells for around $12,000 in China but drives well and is put together with craftsmanship that rivals US electric vehicles that cost three times as much.

A shorter-range version costs under $10,000, Tom Krisher and Ken Moritsugu reported for the Associated Press (AP).

Tariffs on imported Chinese vehicles will keep the Seagull out of America for now, and it likely would sell for more than 12 grand if imported. But the rapid emergence of low-priced EVs from China could shake up the global auto industry in ways not seen since Japanese makers arrived during the oil crises of the 1970s.

BYD, which stands for “Build Your Dreams,” could be a nightmare for the US auto industry.

“Any car company that’s not paying attention to them as a competitor is going to be lost when they hit their market,” said Sam Fiorani, a vice president at AutoForecast Solutions near Philadelphia. “BYD’s entry into the US market isn’t an if. It’s a when.”

US politicians and manufacturers already see Chinese EVs as a serious threat. The Biden administration on Tuesday is expected to announce 100% tariffs on electric vehicles imported from China, saying they pose a threat to US jobs and national security.

The Alliance for American Manufacturing says in a paper that government-subsidized Chinese EVs “could end up being an extinction-level event for the US auto sector,” Paul Wiseman and Didi Tang also reported for AP.