During his hourlong State of the Union speech last month, President Joe Biden proclaimed the “auto jobs of the future” will be “here in America!” The president was right to point to the importance of the American auto industry, but he failed to mention that his policies are helping China dominate global auto manufacturing.
China has been after such dominance for some time. The Chinese government regularly inundates Chinese automakers with subsidies, financing incentives, tax breaks, stolen intellectual property, and even slave labor to make them more competitive. As recently as 2009, the effects were limited. Chinese vehicles remained second rate, and they rarely left the Chinese market. Today, however, Beijing’s non-market policies are paying off in a big way.
