It’s very unlikely that Chinese cars are sold at a loss.
Even if we ignore for a moment that Chinese cars are produced at such low costs not in the least because of the use of forced labour and thus by ignoring even the most fundamental human rights, China will subsidize its EV industry at all costs, also offering dumping prices. China’s ‘industrial policy’ isn’t focused on financial health but on scale to destroy foreign competition to control the market for economic and political gains.
Even if we ignore for a moment that Chinese cars are produced at such low costs not in the least because of the use of forced labour and thus by ignoring even the most fundamental human rights, China will subsidize its EV industry at all costs, also offering dumping prices. China’s ‘industrial policy’ isn’t focused on financial health but on scale to destroy foreign competition to control the market for economic and political gains.
Believe it or not, the Chinese government does not have infinite money, so we’ll see if this plan pans out for them.
Errm… whos gonna tell them about the economics of being the largest coherent market there is and forcing Joint Ventures in every relevant industry…