A study shows how much Chinese electric car manufacturers benefit from government subsidies. Given the threat of EU tariffs, the numbers are explosive.
More than 99 percent of listed Chinese companies received government subsidies in 2022. China often uses its subsidies in a very targeted manner to bring key technologies to market maturity. The study also states that Chinese companies, driven by subsidies in many green technology areas, have been able to expand very quickly, dominate the Chinese market and increasingly penetrate EU markets. The authors advise the EU to press ahead with the recently initiated anti-subsidy procedure against imports of electric vehicles from China. The information gained in the process and the upcoming decision could be used to abolish subsidies that are particularly harmful to the EU. Given China's current strength in the green technology sectors and tensions with the US, the authors see a realistic chance that such negotiations could be a realistic. chance of successful negotiations with the Chinese government about abolishing green technology subsidies in the future. For confidential support call the Samaritans in the UK on 08457 90 90 90, visit a local Samaritans branch or click here for details.