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by FooBarWidget
586 days ago
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Really no idea what you're getting at. It's really simple and not some nefarious scheme. The Chinese government wants to be energy-independent so they don't have to import foreign oil and gas. Developing domestic green energy happens to align with fighting climate change, as well as transitioning the economy to a high-tech based one in order to escape the middle income trap. The incentives with the private sector are also aligned because this development is profitable. So they do it, by whatever means possible. They sell some cars to Europe and North America, but the amount is negligible compared to what they sell domestically, and still much smaller than what they sell to ASEAN and the Middle East. It's that simple. This isn't some grand plan to destroy foreign car manufacturers. If foreign car manufacturers get destroyed then that's by accident, as a result of them not staying competitive enough, not because that was the end goal from the start. Of course it's in western governments' and manufacturers' rights to not accept this fate. But the most productive way to avoid that fate is by increasing their own competitiveness and by moving faster themselves, not closing themselves off while at the same time staying lazy about the energy transition. That's just rent collection. |
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They do that partially as you say to develop their own energy independence. But there would be more efficient ways to do that, and specifically they wouldn't need to give gifts to foreign consumers.
I'm not sure why you think that I think it's nefarious? Western consumers (and other foreigners, like in ASEAN and the Middle East etc) get stuff for cheaper, that's nice for them.
The Chinese government subsidises these companies with tax payer money that they take from other parts of the economy; it's a net loss for the Chinese economy overall; but perhaps a net plus, if you focus on just the politically connected companies.
If you want to find anything nefarious: it's that rest of the Chinese economy that's being shafted.