this post was submitted on 15 Dec 2025
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EU backs German chip fabs with โ‚ฌ623m State aid (www.eenewseurope.com)
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[โ€“] MigratingApe@lemmy.dbzer0.com 1 points 2 months ago (1 children)

gave Chinese manufacturers an inroad that ensures the German solar industry will never bounce back,

Are we watching in slow motion over the last decade(?) the same scenario play out with automotive industry?

[โ€“] Jesus_666@lemmy.world 4 points 2 months ago

Less so. The thing with solar was that the German companies were forcibly put out of business right when the Chinese companies had the tech figured out and were expanding aggressively.

As a result the Chinese now fill a mature market and any new company needs to fight to displace them. Also, they've had two decades to improve their products so any new German company world start with a market disadvantage and a tech disadvantage. And of course they have cheaper production costs so any new German product would be more expensive, to boot.

In comparison, while the German car industry is doing its best to avoid being competitive, they actually do still make at least some decent cars. They even noticed that there is a market for cars under 40,000 โ‚ฌ โ€“ way too late but still in time to not entirely lose the segment.

Also, of course, the government is actually helping rather than harming them. In fact, it's bending over backwards to fulfill their every wish, as per usual.