Sanctions Fail! Why China Is Still Beating Apple and Tesla.

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Over the years, I’ve made fun of, it doesn’t make any difference whether it’s an elephant or a donkey, whoever’s in charge, president and how they like to put sanctions. They like to sanction stuff and it fails every time. I’ve equated it with double secret probation, which Dean Wormer used at Faber College to go after the Delta House. Except I think Dean Wormer’s…

Dean Wormers -Dubbert’s secret probation is probably more effective. It works. I mean, the media talks about it. we got to do something. Got to do something. Let’s sanction them. And I’m like, yeah, where there’s a need for something, somebody will find a way, you know, for example, you know, well sanction Russian oil. Yeah, they’re just going to sell it to somebody who wants it. Anyway, this story talking about another sanction failure.

here today. This is we blacklisted a Chinese company here. This is a company, Xiaomi, Xiaomi is the name of the company. X -I -A -O -I, it’s pronounced Xiaomi. And this is a company that is known for rice cookers, robot vacuums, air purifiers, and smartphones.

I think the smartphone thing was what we were sanctioning them on. But now it’s pulling something off. And Wall Street Journal actually did a piece on it. A Chinese phone maker did something Apple couldn’t make an EV. Now, yeah, it’s coming out with electric car. And quite frankly, I think Apple really wanted to make an EV. They would have went on and made the EV. They just are seeing the writing on the wall. Apple’s pretty smart.

But anyway, Xiaomi is gonna have this thing. It’s called an SU7 sedan. And they got thousands, thousands of people lined up to buy this car. 90 ,000 binding orders in for this car. This SUV is priced between 30 to $42 ,000. And this baby can go up to 500 miles on one.

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Charge. Now that’s the Tesla Model 3 in China. It’s about 4 ,000 cheaper, and a Tesla Model 3 is not an SUV. And it gets 200 miles more per charge. Again, yeah, how’d those sanctions work out? Anyway, they’re going to lose money on these cars for some time. They said to turn a profit. Xiaomi is going to have to produce a

300 ,000 to 400 ,000 of these each year. Again, we don’t know if they’ll be successful. They won’t be successful. Chinese government is going to subsidize them. Mike, we’re subsidizing electric cars here in the United States. But again, how those sanctions work out? They didn’t. They didn’t.

Again, the definition of stupidity is doing the same thing over and over again, expecting different results. Just saying we might want to try something different. Watchdogonwallstreet .com.