Europe’s auto industry, once a global leader in innovation, is crumbling under misguided government mandates and China’s strategic dominance. By enforcing an all-electric vehicle (EV) future despite weak consumer demand, European leaders have crippled their carmakers while funneling billions in subsidies to Chinese competitors.
Key points:
* European EV mandates have devastated domestic automakers, paving the way for Chinese brands like Chery and Great Wall Motors to dominate markets.
* China’s control of battery materials and cheap manufacturing ensures only its companies profit from EVs, which critics call “glorified golf carts” unfit for broad use.
* The UK’s Society of Motor Manufacturers and Traders (SMMT) has supported these policies, failing to protect the industry.
* Experts warn Europe’s auto sector faces extinction, reduced to assembling Chinese parts while profits flow to Beijing.
The collapse is evident as iconic brands like Volkswagen and Renault struggle, while Chinese firms seize showrooms and markets. Emissions Analytics CEO Nick Molden states, “Governments forced a technology where only non-European countries can win.” Critics like Paul Homewood highlight how subsidies enrich Chinese manufacturers, with the UK’s ZEV mandate alone channeling millions to them.
China’s victory stems from exploiting Europe’s climate policies, securing supply chains while the West dismantles its combustion engine legacy. As Andrew Orlowski notes in The Telegraph, Europe may retain some jobs, but profits will belong to China. The question lingers: Was this naivety or a deeper betrayal?