Chinese EVs 30% Cheaper for European Buyers Than Local Rivals, Endangering 350,000 Supplier Jobs
Chinese EVs cost European buyers up to 30% less than comparable local models, according to CLEPA, risking 350,000 supply chain jobs. The group urges fixes to the Industr…
Chinese electric vehicles (EVs) cost up to 30% less for European buyers than comparable local models. Industry group CLEPA warns this price gap puts 350,000 supply chain jobs at short-term risk and urges closing loopholes in the proposed Industrial Accelerator Act (IAA) to protect European manufacturing.
A structural cost gap of 15% to 35% between Chinese and European vehicles threatens to erode 23% of per-vehicle value over five years. This keeps Chinese EVs more affordable upfront for consumers, intensifying competitive pressure.
The IAA aims to require 70% European content for public subsidies on EVs, plug-in hybrids, and hydrogen vehicles. However, key flaws include:
- Waivers for bids 25% or 30% more expensive.
- Coverage of just 20% to 30% of sales.