"The Intersection of Global EV Production and the Crisis Facing Rural Hospitals in the US"

Ben H.

Hatched by Ben H.

Feb 22, 2024

3 min read


"The Intersection of Global EV Production and the Crisis Facing Rural Hospitals in the US"


The global electric vehicle (EV) market has witnessed significant growth in recent years, with several key players emerging as leaders in the industry. BYD Auto, a Chinese company, has surpassed Tesla in EV production, recording a remarkable 211% increase in output in 2022. However, while the EV market soars, a crisis is unfolding in rural hospitals across the United States. More than 600 rural medical centers, representing about 30% of all rural hospitals, are at risk of closure due to financial struggles. This article explores the commonalities between these two seemingly unrelated topics and highlights the urgent need for action.

BYD's Rise in the Global EV Market:

BYD Auto's impressive leap past Tesla in EV production is a testament to China's growing influence in the industry. While BYD has primarily focused on the domestic market, it plans to expand into Europe by establishing factories to circumvent EU tariffs on Chinese car imports. This strategic move could propel BYD's presence in non-domestic markets and potentially disrupt the EV market further. Hyundai Motor Company, which owns Kia, has also experienced substantial growth comparable to Tesla, showcasing the increasing competition in the industry.

The Crisis Facing Rural Hospitals:

In stark contrast to the thriving EV market, rural hospitals in the US are facing a dire financial situation. According to the Center for Healthcare Quality and Payment Reform, around 30% of rural medical centers are operating at a loss, putting them at risk of closure. Disturbingly, nearly half of these hospitals lack the financial reserves to sustain more than two or three years of losses, leaving closure as an imminent threat. States like Connecticut, Hawaii, Kansas, and Vermont are particularly affected, with their rural populations bearing the brunt of inadequate healthcare access.

The Role of Private Insurance in the Crisis:

One of the primary reasons behind the financial struggles of rural hospitals is the insufficient reimbursement from private insurance plans. These hospitals face losses when providing services to uninsured patients and those covered by Medicaid. However, the biggest cause of their overall losses stems from the disparity between the payments received from private insurance providers and the actual cost of delivering services. This imbalance exacerbates healthcare disparities, disproportionately affecting underserved rural populations.

Connecting the Dots:

Although seemingly unrelated, the rise of BYD in the global EV market and the crisis facing rural hospitals share a common theme: the need for urgent action. Just as BYD plans to expand into Europe to overcome trade barriers, a similar proactive approach is required to address the financial struggles of rural hospitals. The situation calls for innovative solutions that prioritize equitable healthcare access for all citizens, regardless of their geographic location.

Actionable Advice:

  • 1. Increase Government Support: Governments should allocate sufficient resources to support rural hospitals, ensuring they have the financial stability to continue serving their communities. This could involve targeted subsidies, grants, or tax incentives to alleviate the burden of losses.
  • 2. Foster Telemedicine and Telehealth Services: Expanding access to telemedicine and telehealth services can help bridge the gap in healthcare access for rural populations. By leveraging technology, patients can receive virtual consultations and access specialized care remotely, reducing the strain on rural hospitals.
  • 3. Encourage Public-Private Partnerships: Collaborations between the public and private sectors can play a crucial role in sustaining rural hospitals. Partnerships could involve shared funding, expertise, and resources to bolster financial stability and enhance healthcare delivery.


The unexpected connection between the global EV market and the crisis facing rural hospitals highlights the need for holistic approaches to address societal challenges. While BYD Auto's remarkable growth signifies the rapid evolution of the EV industry, the financial struggles of rural hospitals underscore the urgency of ensuring equitable access to healthcare for all. By implementing actionable solutions such as increased government support, telemedicine expansion, and fostering public-private partnerships, we can strive towards a more inclusive and resilient future.

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