Comparing costs between Western and Chinese automakers in China shows that subsidies matter, but they’re only part of the story. Chinese carmakers benefit from fundamentally lower cost structures, driven by tighter control over their supply chains and a stronger focus on the China market—both of which significantly reduce operating costs. They also make more aggressive use of supplier-backed financing
Do you honestly believe that there weren’t any car subsidies before EVs? They may not be as direct as the recent EV subsidies, but there are billions of dollars artificially propping up the industry.
The US spends over $660 Billion annually on fossil fuel subsidies, a massive chunk of that is related to vehicle fuels. An estimated $20k per gas vehicle over its lifetime.