China has spent at least $230 billion to build its EV industry, new study finds

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China spent $230.8 billion over more than a decade to develop its electric car industry, according to the Center for Strategic and International Studies.

The scale of government support represents 18.8% of total electric car sales between 2009 and 2023, said Scott Kennedy, trustee chair in Chinese Business and Economics at CSIS.

Workers assemble a Wuling Hongguang Mini EV, an all-electric microcar manufactured by SAIC-GM-Wuling, at a plant of the joint automaker in Qingdao in east Chinas Shandong province Tuesday, Nov. 30, 2021.The scale of government support represents 18.8% of total electric car sales between 2009 and 2023, said Scott Kennedy, trustee chair in Chinese Business and Economics at CSIS.

"There are some exceptions, but in general Western automakers and governments have dilly dallied and not been aggressive enough," he said. Kennedy had laid out seven policy initiatives in a report four years ago about potential trade tensions from Chinese electric cars.Government subsidies did not necessarily go straight into car development.

"Independent auto analysts and Western automakers with whom I've spoken all agree that Chinese EV makers and battery producers have made tremendous progress and must be taken seriously," Kennedy said.

 

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