Renowned China expert Gordon Chang has shed light on the dangerous implications of the burgeoning Chinese electric vehicle (EV) industry. In an interview with Fox Business, Chang warned that this sector poses a threat to the US automotive industry by potentially choking it out and bringing about a new data collection apparatus for potential spying purposes.
Chinese EV company BYD surpassed Tesla’s production in 2021 and 2022, producing over three million vehicles last year compared to Tesla’s 1.84 million. Despite not yet selling its clean energy and hybrid line of cars in the US, this rapid growth has been fueled by what Chang terms as “extremely predatory” business practices amounting to “trade violations”. He noted that China produces a whopping 60% of all EVs worldwide and manufactures more vehicles than it can consume locally. As such, it is flooding foreign markets with its surplus production, which could ultimately put American companies out of business.
Chang also highlighted the Chinese government’s significant subsidies for its EV sector as an unfair advantage that other economically responsible countries do not enjoy. He explained: “And we’ve got to remember the massive subsidies China puts into its EVs, which are about three or four times larger than those of OECD (Organisation for Economic Co-operation and Development) nations like us.”
Chang has long been critical of Chinese trade practices. He argued that Beijing’s entry into the World Trade Organization was supposed to integrate China into a global system of rules but noted that it hasn’t worked as planned, with numerous violations going unaddressed for decades. “We do not want China to own all our manufacturing capacity so there are no American manufacturers left,” he declared bluntly.
The Chinese EV industry also raises concerns regarding spying and data collection on foreign citizens through its vehicles. Chang noted: “With any Chinese car, I’m sure the Chinese will use it to take information.” Other experts in this field have similarly raised alarms about potential consumer privacy breaches with Chinese-made products.
Another worrying aspect of China’s EV sector is that many components used for manufacturing these vehicles come from slave labor sources. Chang explained: “The one concern we have with Chinese-made parts is forced and slave labour, as studies show virtually all solar panels made in China are produced using such methods.” He urged Americans not to contribute financially towards a nation hostile to their interests by focusing on domestic manufacturing instead.
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