"This could be improved even more by creating national champions. He cited Takaichi as saying in a conversation with him: “why does Japan have seven auto firms”?"
That's a really bad idea. National Champions are very very rarely successful and usually lead to massive capital misallocation and waste of (eventually) government funds to prop them up.
Japan should know this because of the DRAM and chip stuff back in the 1990s.
I don’t think Toyota was wrong to focus on hybrids over battery electric vehicles, its major markets are America and Japan where the EV push was driven by subsidies and caused major misinvestment by GM and Ford since sales of EVs has fallen because demand for them is actually not very high. In Japan the lack of charging infrastructure makes hybrids continue to be attractive even with high gasoline prices. Their other major market is China, but I don’t think they can compete their on EVa with the cut throat competition among the dozens of Chinese EV companies and their supply chains, but they have a better chance their with the smaller hybrid market.
Depends on whether your time horizon is this year's market share and profits or whether it's what it looks like 5-10 years down the road. Neither Japan nor the US is a major growth market in cars.
I need to post my draft article about EVs in Japan and how they don't make much economic sense to consumers even with the subsidies that the government is offering.
https://open.substack.com/pub/thiagodearagao/p/five-ways-sanae-takaichis-rise-in?r=2di31u&utm_medium=ios
"This could be improved even more by creating national champions. He cited Takaichi as saying in a conversation with him: “why does Japan have seven auto firms”?"
That's a really bad idea. National Champions are very very rarely successful and usually lead to massive capital misallocation and waste of (eventually) government funds to prop them up.
Japan should know this because of the DRAM and chip stuff back in the 1990s.
I don’t think Toyota was wrong to focus on hybrids over battery electric vehicles, its major markets are America and Japan where the EV push was driven by subsidies and caused major misinvestment by GM and Ford since sales of EVs has fallen because demand for them is actually not very high. In Japan the lack of charging infrastructure makes hybrids continue to be attractive even with high gasoline prices. Their other major market is China, but I don’t think they can compete their on EVa with the cut throat competition among the dozens of Chinese EV companies and their supply chains, but they have a better chance their with the smaller hybrid market.
Depends on whether your time horizon is this year's market share and profits or whether it's what it looks like 5-10 years down the road. Neither Japan nor the US is a major growth market in cars.
I need to post my draft article about EVs in Japan and how they don't make much economic sense to consumers even with the subsidies that the government is offering.
Now posted my article about EVs in Japan and how they don't make much economic sense - https://ombreolivier.substack.com/p/why-japan-has-few-evs?r=7yrqz