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A statistic that I keep reiterating is the following: BYD in China has a 50% cost advantage making EVs relative to Tesla in China. Context: https://x.com/i/status/2108494559621582977

How much of this is driven by explicit or implicit public subsidies?

This is an intra-China comparison. A big part of it has to do with economies of scale, spatial concentration, and the advantage of very modern infrastructure with optimized supply chains. At the heart lie cheap access to land, planning certainty and low land rents...

If cheap access to land and planning certainty apply to the Chinese firm, but not to Tesla that is an implicit subsidy, right? Is Tesla subject to regulations and taxes that the Chinese firm does not face? Scale economies is a clear advantage, of course.