China has harnessed its manufacturing capabilities of electric vehicles outmaneuvering its European competitors. So how did China get to this point? To note first is China’s technological advancements making it one of the most advanced technological countries. Coupled with a large industrial complex and cheap labor force its now hard for any country to compete with. 40 years ago, the auto industry in China was unknown to many and was not a force to be reckoned with. However, today China can supply cars to half of the world. This makes it harder for competitors such as the United States of America and European countries to keep up with China’s EV manufacturing industry. In 2023, China made sales of 5 million cars to the global market. A booming economy and conducive government policies such as subsidies to the auto industry have fostered more vehicle manufacturing brands in the country. According to the Kiel Institute, BYD, now a competitor to Tesla received subsidies from the Chinese government of $3.7b between 2018 and 2019. The USA and European markets are in fear that their auto industry will collapse soon due to the affordability and quality of the EVs from China. The Chinese EV exports grew by 70% from 2022 to 2023. A large percentage of American young people have also taken an interest in buying Chinese EVs. It’s for this reason that the US government and European Countries have effected tariffs to discourage entry of EVs to the global market. However, it is key to note that these tariffs against China aimed to do more damage to their manufacturing and technology industries have landed in the USA and European countries. China continues to make huge strides, and its exports of EVs continue to increase day by day while the auto industries in the USA and European countries shrink. If such policies continue being effected against China, the Auto Industries in the USA and European countries could soon be out of the global markets as they wouldn’t be able to keep pace with the Chinese manufacturing capabilities.