Subsidies are a tool often used to support and compensate domestic producers and products within the market when there is competition. But the Chinese government's “subsidies” are a form of unfair competition aimed at capturing foreign markets. And there is a huge difference. The EU has understood this perfectly well, realizing that it is not Chinese high-tech cars that are cheap, but that the Chinese government is simply driving local European manufacturers out of their own market. Without a real takeover of sales markets, we may well see “Evergrande Auto” in the near future.