- China currently dominates the electric vehicle, battery, and critical metals industries.
- However, other countries, such as Australia, India, and the US, have started pushing back against Chinese investment in these industries.
- There is suspicion and concern about Chinese EV companies in countries like France, which is calling for an investigation into unfair subsidies by the Chinese government.
- This could potentially lead to new tariffs on Chinese EV imports to the EU.
- China's recent actions, such as threatening to curb exports of important materials and banning coal imports from Australia, have further fueled concerns about dependence on China.
The article discusses the potential for the West to use China's economic slowdown to gain an advantage in the electric car race, highlighting the need for a different approach to counter China's advantage. The author suggests welcoming Chinese investment and immigration of skilled Chinese scientists to strengthen the American EV industry and potentially weaken China.
Europe's carmakers are facing a tough battle to catch up with China in the development of affordable and consumer-friendly electric vehicles, with Chinese EV makers already a generation ahead, according to industry analysts and executives at Munich's IAA mobility show.
Chinese electric car firms, including BYD and Xpeng, are expanding their presence in Europe and challenging traditional automakers in the EV market, capitalizing on Europe's attractive market and stringent regulations pushing towards EV adoption.
China's automobile and component exports have doubled in 2021, leading to an investigation by the European Commission into subsidies given to Chinese electric vehicle makers, as European automakers express concern over competition from China in the growing electric vehicle sector.
Tesla is expected to benefit from European protectionist measures as regulators crack down on Chinese electric vehicle (EV) competition, causing stocks of Chinese EV companies like NIO and XPeng to plunge.
China accuses the European Union of "blatant protectionism" following an "anti-subsidy" investigation into China's electric vehicle makers, posing a threat to China-EU trade relations and potentially leading to tariffs on Chinese EVs.
The European Union's increasing scrutiny of Chinese electric-vehicle companies has caused tension between the two, impacting the EV space and EU-China relations.
German carmakers are concerned about potential retaliation if the EU imposes duties on Chinese electric vehicles, according to German Economy Minister Robert Habeck, who also acknowledged a Franco-German divide over the anti-subsidy probe.
The European Automobile Manufacturers’ Association is urging the EU to scrap plans for 10% tariffs on electric vehicle manufacturers who do not source all their parts from within the bloc and Britain, warning that this could result in a £3.7bn cost and drive up consumer prices.
The EU's chief trade negotiator, Valdis Dombrovskis, expressed concern about European businesses in China due to tough security laws and a politicized environment, while also highlighting the EU's assertive actions against Chinese subsidies for electric vehicles; this signals a fraying in business ties between the EU and China, potentially leaving everyone worse off.
European regulators are investigating subsidies given to Chinese automakers that may be affecting European companies, including Tesla, but investors do not appear concerned.
Tesla and European carmakers exporting from China to the EU will be investigated by the bloc to determine if China's electric vehicle industry is benefiting from unfair subsidies.
The European Union is investigating Nvidia's alleged anticompetitive practices in the artificial intelligence chip market, where the company dominates with an 80% market share.
The European Union is reportedly planning to announce anti-subsidy investigations against Chinese steelmakers at a summit with the U.S., in an effort to shield industries from cheap competition and avoid the re-imposition of Trump-era tariffs on EU steel.
