• gian @lemmy.grys.it
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    8 hours ago

    Not really. Metal is cheap. Lithium and rare earths are cheap. Abundance policies for raw materials aren’t subsidies. Inflation is low and so are interest rates, and so factories are also cheap. Abundance in robotics too. Highly automated factories make low cost cars.

    And is even cheaper if someone else pay 30% of what you need to spend to build a car. So you can sell the car 30% less than others and still make a profit (maybe).

    It is not a mystery that CCP subsidizes a lot of domestic EVs (among other things like solar panel) to become the dominant player in the market.
    What would be interesting to see is what will happen after they become the dominant player.

    • humanspiral@lemmy.ca
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      4 hours ago

      It is not a mystery how propaganda gets started.

      Steel is 1/3 the price as US. Alumnium 1/2. Markets with Futures trading. There’s over 300 car companies in China. They are not all directly subsidized. There is state involved ownership (from factory building) in Steel, but they make money at market prices.

      • gian @lemmy.grys.it
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        2 hours ago

        There is state involved ownership (from factory building) in Steel, but they make money at market prices.

        They make money because they can write off 30% of the cost of the car being paid from someone else, in one form or another.

        • humanspiral@lemmy.ca
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          2 hours ago

          Chinese car factories DO NOT get a special discount on steel. You can’t just keep repeating that without source that is not also just baseless repeating of same lie.

          • gian @lemmy.grys.it
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            1 hour ago

            My source is “Il sole 24 ore”, a respected finalcial newspaper in Italy.

            But I am not saying the Chinese car factory get a special discount on steel. What I am saying, based on the investigation from the newspaper I cited, is that CCP pay 20 to 30 % of the total cost to build a car.

            Now your sources.