Domestic deployment in the formative phase of the Chinese Electric Vehicles Sector: evolution of the policy-regimes and windows of opportunity

Primoz Konda

Innovation and Development, 2023, vol. 13, issue 3, 493-516

Abstract: China has been able to deploy electric vehicles at an unprecedented speed and scale. This paper explores the underlying policies during six years of sector formation, and it identifies a change in policy-regime after three years. The analysis of evolution of the policy-regimes indicates that creating, transferring, and sharing knowledge among the principal actors was key to catching up. The changing policy-regime enabled a minimum threshold of technology development required for deployment. Nevertheless, it was insufficient for pushing the sector to the global technology frontier. Key to the sector’s relative success was the government’s responsiveness to sectoral development and its ability to address production, demand, and knowledge issues simultaneously. In addition, it created synergies between policies designed to address environmental concerns and foster economic development concurrently. However, fast deployment required heavy subsidies and important policy initiatives came with potential pitfalls that may hamper international competitiveness of the sector.

Date: 2023
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DOI: 10.1080/2157930X.2022.2053806

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