Heterogeneous Diffusion of Electric Vehicles in China: Demand, Learning, Product Entry, and the Incidence of Industrial Policy
Updated
Updated · arxiv.org · Jun 26
Heterogeneous Diffusion of Electric Vehicles in China: Demand, Learning, Product Entry, and the Incidence of Industrial Policy
1 articles · Updated · arxiv.org · Jun 26
Summary
China's electric vehicle (EV) market share surged from 1% in 2015 to about 45% in 2024, driven by product improvements and policy support.
A new study finds that EV adoption was primarily fueled by gains in product quality, expanded variety, and falling battery costs, with subsidies playing a complex role.
The research highlights that subsidy benefits were unevenly distributed, favoring wealthier cities and EV-native firms, and that policy timing shaped the diffusion pattern.