Comment by andsoitis

> It's a myth that China heavily subsidises its EV industry.

We must live in parallel universes.

From 2009 to 2022, China offered national purchase subsidies for EV buyers. Peak subsidies: ¥40,000–60,000 per vehicle (~$6k–9k). Combined with local subsidies, some buyers paid 30–40% less than market cost. These subsidies were phased down and formally ended in 2022, but the industry had already reached massive scale.

This policy alone created the world’s largest EV market.

Even after direct subsidies ended, China continues to provide: EV purchase tax exemptions (10% tax waived), extended through 2027.

China provides EV manufacturers with: Cheap or free land, Low-interest or state-directed loans, Preferential electricity pricing, Grants for factories, R&D, and tooling, State-backed battery supply chains.

China strategically subsidized battery production: CATL, BYD, and others received R&D grants, Guaranteed demand, Export financing.

China now controls ~75% of global lithium refining and ~80% of battery cell manufacturing.

This dramatically lowers EV costs versus foreign competitors.

No value judgement about subsidizing, but to say it is a myth that China has and continues to subsidize their EV industry is false.