China reportedly invested billions of dollars to increase the competitiveness of its domestic electric vehicle market, Bloomberg reported on a new study released last week by Germany's Kiel Institute for the World Economy.
In terms of both domestic and international market share, Tesla—which directly rivals BYD—was the second-biggest recipient of China's support program in 2022. The Chinese government gave the US-based electric vehicle manufacturer $426 million in exchange for the vehicles it produced at its Shanghai plant.
The German research tank that released the report claims that China ended its direct purchase subsidy program at the end of 2022. The program gave an average of $1,380 to $2,400 to each new energy vehicle produced in China from 2010 to 2022.
The largest distinction between China and other nations that provide financial assistance for the acquisition of new ecologically friendly cars, such as the US, was that the government of China provided the money to the car makers not the buyer.
