China's EV Revolution At Risk Of Implosion

When any government thinks it can control markets beyond regulating honest dealings, fairness and safety it does not end well and that includes my own government and yours wherever you may live.

But that is PRECISELY what the Democrats always try to do i.e. control the market and that causes business flight.

Odd then that the best performing economies of the last five US presidents were under democrats.

China already does control all of their markets MATT. They probably have ownership in virtually ALL of the companies involved from the Assembler to the Battery maker. They not only control the companies - they control what the workers earn - how long they must work (Most cannot afford the products they are making)and their benefits as well.

THere really is NO WAY to compare the situation that exists in China with the western capitalists. As far as how this will turn out - it has turned out that pure capitalism without Anti-Trust control also manages to fail - and neither pure communism nor pure capitalism has never really happened in the world - and is not likely as long as there is such a chasm between the top 1% and the rest of the people

China will dictate as everything is controlled by the Communist Govt. So in CHina things will be exactly as they dictate. When other factors are listed such as Communism, Socialism, Capitalism and the effect each has on the individual, Capitalism CLEARLY raises standards of living for the people. Whereas the other 2 CLEARLY bring misery to all vs propserity to all as they promise. There is no perfect world as long as humans beings with selfish interests run governments. But if as America has more than proven, our form of Govt and our economic model has brought vastly greater prosperity than any other forms. So what if the rest of the world replicated what we have here...

Nothing wrong with competition, but government does need to 'guide' in a way so R&D and capital expenditure are not overly consumed and eventually wasted

Agree, remove all the subsidies and tax credits across the board for all for profit companies and charge a fair flat tax on revenue.

Typical for Autospies. People posting without reading. China had the same buyer subsidy of $7500 which is now in half. All the money coming into the EV industry as investment is private funds. Too much as the article says relative to the current size of the BEV car market. Clearly the investors have vastly overreacted to the potential of the Chinese BEV market in the near term. Offering $7,500 on car in a developing market like China should not have resulted in 468 BEV automakers popping up, but it did. Blame the government if you want but this is an investor driven issue. And the market will fix itself over time (fewer firms).

I do not agree that ALL of the money going into the chinese EV industry is private funds - especially when the Government has ownership in most of the players in the game. If you have regularly been to china - then you know just how bad the air is there - but EVs will not solve that problem until China reduces the amount of Electricity produced by coal from 60% it is now.

Today - there are days when they close down factories in order to keep local air breathable - It reminds a lot of India which has similar problems.

As far as giving out money to buy evs - the fact is - Evs are still an elite purchase - the average worker saves to buy a Bicycle. #3,750 may be a lot of money - but when you average YEARLY salary is about $11,000 it might take a lifetime to pay of a real EV.

TO: China EV MFGS.
From: Rick
You will not go out of business. rockreid, EVisNow, & San Jose Driver are flying over in an electric airplane to save you. No Carbon footprint left behind !!!