, Columnist
China’s EV Startups Are Going Bust. That’s Good
The boom years are only just beginning as the sector matures and leaves its wild past behind.
Survival of the fittest.
Source: Bloomberg
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The technological big bang that hit China’s electric vehicle market late last decade appears to be fizzling out. Believe it or not, that’s good news for the industry.
A group of roughly 500 registered EV manufacturers in 2019 has been whittled down to about a fifth of that size, Bloomberg News reported Tuesday. The top four players now have a 60% market share and the Herfindahl-Hirschman Index, a measure used by antitrust regulators to decide if a market is tending toward oligopoly, suggests the industry is no longer competitive and is instead moderately concentrated.