because life is the the, the ready to take up. let's do that right now on our end the trying those the electric vehicle industry. so i thought 2 points. well, each slide or co left under the pressure on one front, domestic manufacturers are engaged in brutal price worth of feature bedrooms. where

on the other, they face global threats from steve terrace and the subsidy. you of us a are ready to slabs of breaks on chinese tvs going global. the chinese domestic market is not the biggest in the world. yes, only test last b y, b and b. all adults has been able to make a profit. we have select with the vendors, these rates. but what's up all the cache with over $400.00 electric vehicle companies have that. and the staggering 90 percent has gone bankrupting just 60 it only designs like tesla, b, y, d. and we also have managed to turn a profit in this cost. so much to this is about a little survival to see who is the strongest manufacturer. chinese companies have gained a cost advantage through cut throat competition in recent years,

so only the strong survive in china. and we've done the other basically all evade production supply chains or under chinese control, given china and almost insurmountable advantage. that's nearly impossible for the germans to catch up to no one. what's the chinese government's role in? how the china c electric vehicle industry getting such a head start? and what does the future hold behind the success of companies like b, y b? how many help be left in the task brought to you by the deputy red light. so into the i'm told stories of china's electric vehicle industry. busy in may 2024. while jermel. what's the steel? deliberating by the on how to impulse special terrace. i'm trying these made electric vehicles. the united states took the size of step, is decided to raise tigris. i'm chinese made electric vehicles from 25 percent to

100 percent. the folks look, i'm determined that the future of electric vehicles to be made in america by you, you'd work period. now do you then find them? find out what is yes and the us government's decision to quadruple the punitive tariff. not to 100 percent. is a very, very drastic stand up to so far beyond what might be expected. would you say it lets me see cartoon network get me all with us? are awesome. i was a bit surprised and i find it disproportionate. the automotive industry is highly mature. over the past 30 to 40 years, we've seen increasing global openness and integration, removing trade barriers and a free competition is good for the economy. so i think cutting things off like this is a very negative signal and then you've got to be receiving audits. and so now, so don't forget that justification for the huge tire of inc. chris, is that the chinese government has been having the subsidizing it's industries,

particularly the steel solar and the sectors leading to a massive over capacity. we have this not tradition. of course, we already know that china is over capacity in the sector is a global issue about setting punitive tariff at 100 percent is very, very severe. and this is certainly because president joe biden, that's currently in campaign mode when you didn't to binds this moment. time in by comes to send that well, a 100 percent terrace sounds huge, meaning the price of the imposter. chinese e. v in the u. s. doubles for the chinese industry and global each rate is not a significant issue. this other things of notice on the affects the 12000 davies that were exported from china to the us last year, which is really a negligible proportion of chinese export isn't getting uh on time funding. she

needs an export and kinetic tonsils in comparison. try like partridge, over 5000000 vehicles globally in 2023. the economic impact of selling ciao cells and fewer eaves in the u. s. is minimal. type is another, you know, this doesn't change much economics. it's more of a political state mates. of course, there's also a domestic political dimension, especially in an election year. i was just and it's also a statement against the mass of the subsidies in certain industries in china, in recent years. it's and you have mentioned subsidies several times now before delving deeper into the subject. let's see how europe is dealing with these issues portrayed to be fear, the access to each other smart. it also needs to be reciprocity and we discussed how to make real progress on market access. i remain confident that more progress can be achieved. at the same time, we stand ready to make for use of our trade defense instruments. if this is

necessary, european commission president was it off on the line, made his statement after meeting shooting in may 2024. the traits defense instruments she referred to include imposing terrorist on chinese eves. similar to the us approach, confirmed facts include the use announcement in october 2023 of a formal investigation into subsidies for chinese made ease. say, it had sufficient evidence. it came shortly after numerous electric chinese vehicles were showcased at the munich international. more to show em let's yeah, tina and conference me on. last year, a china exported 1500000 lives of which 500000 went to the you and the only 12000 to the us as high as the will have the highest means to you has a much larger influence on both the u. k. more responsibly and broadly discuss

these issues with the badging government as well. and it's influence in china is likely greater than that of the us due to the minimal number of the these and exported to the us in the notes that we need to edit cool thoughts sorted on. not expected for the like the us to use mean criticism. i'll try those in the street. revolves around subsidies, particularly focusing on over capacity. the quote of doctors ations is that by providing massive subsidies to key industries including the bees, the chinese government has created significant over capacity, thoughts as our as to, to yours have pointed out in previous episodes, europe. and the us have also provide its substantial subsidies to industries like

e b y even is just so much focused on criticizing the chinese government for its subsidies. to answer this, we need to understand the extent of aging subsidies. these are the 2019 statistics for industrial subsidies provided by the chinese government as compared to t o e c d countries trying us about sweet times that of the 2nd place in the united states. nearly 10 times that of japan as more than 15 times that of germany, a significant portion of chinese subsidies spend to the ease extra trying a long shot pilot project to support the development of eaves as early as 2009. though the subsidies have been decreasing in recent years, has made this a national goal and pursued a good industrial policy to those people to take them off their time. his

government's approach was to gradually encourage enterprises to enter the new energy vehicle sector while supporting the development and production of battery technology. just related to roll materials. this gradually established a comprehensive e b industry chance in china, just being honest, minnesota roman, on the months my off the investment, of course, this was all backed by government subsidies and encouragements, and sometimes direct investments from government supported funds. this is good industrial policy and well, chinese companies obviously benefited greatly. foreign companies like tesla also profited from this policy policy. that was done nutrition. postpone eating company fights and ultimately failed due to a broken funding trans. never to less buy's and also received subsidies from the chinese government. it'd be happens all the time. i is the we also had some

government capital, but it didn't help us at that stage. that's not so it's not that the government unconditionally intervenes in the market. you want to do competition still exist in boxes. so no, it's not all that develop. i'm not understanding the full scale all of subsidies provided by the chinese government to the sector is no easy task. how i work from this chart of approved new energy vehicle purchase subsidies. we can get a glimpse of just how much money is involved on here at the top $10.00 companies that received these subsidies leading the pack a, b, y, b and the gas coup which received massive direct government assistance from 2018 to 2022 particularly in 2022, this direct subsidy to local companies rather than the following ones, is

a major point of criticism from europe and the u. s. as it impacts fair competition in the international market and leads to a significant over capacity. gina, have shown china has had over capacity for decades due to which system type, which is not a free market economy, but state controlled. and then when the data prevents the government's decide to build a factory. it often isn't based on market criteria, but rather it's simply executing, it took something leading to this of a capacity or something on the shopping is a couple of 15, but complex the team, local governments, across china, those provinces have greatly contribution to the overall capacity portable are you more than fine? not nearly every province, both numerous and national level, t industrial parks or the button and zones. the perverse planning on the even advertising slogans and promotional reviews of these areas. a very similar to

ensure economic growth and maintain the political standing. local governments have heavily subsidized the local manufacturing and high tech industries from economic perspective, subsidies these toward market mechanisms and lead to welfare loses for society as a whole. however, europe and the us have also been active in providing subsidies, but it comes to the criticism of chinese subsidies. i believe this is a pretext to the chinese government has massively supported the center, but this is no different from good industrial policies in europe or the us think about air bus in europe. and think about that. it could have become a market competitor without substantial subsidies and industrial policy support to point it to go. however, some of you with that chinese government subsidies differ significantly from those in europe and the us national china indeed operates different. as i mentioned

earlier, every provincial governments are heavily subsidized as local manufacturing. i mean, in this context, they naturally have at least support local companies. before tuesday, not tuesday, the high motion on beach must be the chinese government's actions have multi. if i say that impacts on the global economy, talk to each of us, mine and my notes on kind of this issue can also be viewed from this perspective. a chinese government is wasting money by increase, selecting industries to support, creating huge capacities in those fields which makes these products for the very, very cheap and then the easy to compensate it and to show them the that's what's in this. these are prove to comes constance degree sam, or as worldwide benefit from this, such as with cheap solar cells, and dv is the altos. what frustrates me about this discussion. industrial policy is essential, and germany came out of for the weakening auto industry,

the ultimate. but what about the climate today? it's been completely forgotten. we've set the goal to become carbon neutral because it's regarding global emissions in climate goals. where at the last minute, let's go bought a new, we need to bring affordable eaves to the market as quickly as possible to help achieve this goal. to get all this and then not the, there are plenty of for what you're using this find these markets with the rapid expansion of continuous price cuts by companies like b, y, the ged on cherry china. the market has become the most competitive in the world to come from. this is a battle of survival to see who's the strongest manufacturer and chinese companies have gained a cost advantage through cut throat competition in recent years. and so only the strongest, survive in china, snacks, new belief organs, you know, in raising here. the chinese government has significantly reduced subsidies for the

industry. that market forces besides the face of the company. a mom that's why the stands out as a clear, been having become the board largest e b maker by sales in 2023. what is the secret behind the success of chinese ag market leaders like the white jesus conceiving economies of scale and profitability? have been the fundamental principles of the automotive industry for a 100 years, b, y for example, b y, d initially wasn't part of the traditional automotive industry, but was a battery manufacturer. and that they quickly realized that in the east, after the battery is the core components leading them to focus on a completely different technological power. the b y b is done is called you know, what's clear, b y d is number one, simply because they started focusing on this issue. where are they on a success factor? similar to tesla is the vertical integration of the battery. bring their own back

faster. at those a bucket you stand up and pay your respects. this one's best. didn't make it the most money on the car, in the, in china. most people

who, despite the large size of the chinese market a 100 easy manufacturers vs lead to many wonderful i think what the central government that's only about 10 because many are needed prospects is happening now . and some financial governments will continue to try to support their local manufacturers. the major require fortunately, some of this many by 10 months, named by some other industry tires. tell us that the many companies is that big, grossly under estimate or of comp, actually there is

a searches in the industry. at least the tool is thought up capital. it's not even forest policy creating an ab brett company. you'll still in this tiny spot include buying, it's like b, y, d, g, a chevy, which have chief call me back at the back of the day of the us on the on the and the number. well, so what are some say on the company is a little tiny every prevents any

. the 30 companies i sell, the nation will continue the next 5 years we'll see even more potential competition. but i believe and maybe by 30 by the next the median. see me. 2020 that exploded over 5 medium, becoming the parts largest exporter. i don't think this growth will

continue, entire regions was stealing on the markets are only the european haven't done so, but they probably will sit on the global a big fire market print a closer look at the costs into suggest brad significant raises in the on your old one, still trying these cars from finding buyers. board the ranks for teens and germany, banks 6 amount ex destination. in contrast, germany try those per market remains. coastal german

manufacturers still sell like huge portion of their car. suddenly the market is coming up says hardware and likely all easy ends are under china control and almost ins. you know with this a bad though, just because of the fact that people text message

by all the hands. now this means they must now feel powerless. you find key technology in mind where they may already be voted both and go from spot to one. this is him like a brutal, bad or by its organization. has long sets for stocks, disputes, unfortunately, almost no later or is going to fold them all. the t multilateral coordination in world trade has become very, very fragile. that's the

the big one is in the challenge and also exist such as the this is the world's largest railway with new culture being and got kinds of disease, recreating the monitor on previous view little formula. one cars are missing and you can't. and so any take into these tiny artist and possibly some training to the

0 and some 5 that'd be dealing the media to austin, old houses of hendrix, it will began in 2001 since then the found to be expensive. and then last name, miniature, today, attraction originally. so the marginal calls towards lee would be we placed the agency and i hope that for many people, i just think for the 1st monica front of us, i'm out on demand ways to $87.00 sky. in addition to

the summer before, because this also talk to these guys and cuz we have a big team that loves laugh, that's very good. if it goes to the world is white, the federal fits knuckle, miniature, and has 4 different worlds and theme areas. one of the most pictures to city stuff with different ones. the one the, the thing has an assumption of expression and you shall find long starting at levels and then for every

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business dw news from ballot protein have 3 or 4 sub or and ukraine sees arrived in town, young meeting with king john, hoping the 2 can help each other to all the comments and national sanctions that will be put into the 1st visit to north korea printing for you. also coming up in by law, the senate voted so many in favor of a marriage equality built clearing the way for tom on to the account, the presentation in southeast asia to allow same sex couples title.