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0 pointsrefurb11mo ago0 comments

In terms of BYD dominance, one needs to keep in mind the subsidy that the Chinese government is providing, such that they can sell cars below cost.

https://www.shs-conferences.org/articles/shsconf/pdf/2024/27...

Just 2018 to 2022, BYD received $5.9B. And that doesn't include all the indirect subsidies that went to suppliers like the battery manufacturers.

It's a part of Chinese government strategy of "build it and they will come". Massively subsidize select industries, dominate the market.

Which is why the EU has put high tariff's on the cars.

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ksynwa11mo ago

That is not that much in terms of subsidy for a critical industry. I tried finding the awards for Tesla but the articles lump in government contracts and report the figure to be in tens of billions. I am sure they have received a comparable amount of funding. BYD has just been able to make better use of it I suppose.

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