BRUSSELS, March 2 (Reuters) - Scaling up production in Europe could cut the cost gap between EU-made batteries and those coming from China to around 30% from a current 90%, transport and environment campaign group T&E said in a report on Monday, and it urged the EU to support the sector with its "Made in Europe" plans.

Going to be a lot of NIMBY to climb over.

Paying 130% for the same product still isn't competitive tho?

Unless you're gonna start from square 1 and centrally plan every step as well as China did, you're looking at an industry that will never stand on its own.

The EU and the countries in it are already subsidizing a lot of commercial activity that's deemed "essential", such as agriculture and auto industry. They don't necessarily have to be directly competitive.

Not product, just the battery. Cost of battery is ~35% of the cost of a car so car with European battery will be what? 10-15% more expensive? Probably similar for other products. I would be more than happy to pay extra 10% for products with batteries made in Europe.

Not In My Back... Aardvark?

Ty, dont know how that typo happened

start from square 1 and centrally plan every step

How do we find the people who can do that?

If you didn't have the scientists and engineers before, you certainly have enough fleeing America now.

The issue for Europe is political. Capitalism has advanced so much I genuinely don't believe yall are capable of that type of investment without just funneling the money into the pockets of billionaires while terribly mismanaging the whole thing.

I wouldn't call what China does "well planned" or "technologically superior", per se. More like "they don't pay their workers hardly anything and regularly utilize slave labour at a large scale".

well planned

They manufacture more than anyone else in the world because of how effective their planning has been.

“technologically superior”

They have factories they don't even bother to turn the lights on due to how automated it is. You're using stereotypes that haven't had any basis in reality for over a decade.

“they don’t pay their workers hardly anything

Eh, kinda, wages are still quite low, but for the last 20 years, labor-intensive work that can't be automated has been leaving China for countries whose wages haven't increased.

and regularly utilize slave labour at a large scale

China doesn't use slave labor lmao.

If it was only an issue of low wages and high population, India would be the biggest manufacturer in the world.

without just funneling the money

Similarly, among all the engineers, who selects the competent ones? We have market economies because central planning has shown its limits. Shouldn't we trust the process and support the market in figuring it out?

Shouldn’t we trust the process and support the market in figuring it out?

No because that is how neoliberalism just hollows the industries that all other industries depend on. There's a reason China builds more HSR and subway lines, ships, and solar panels than the rest of the world combined.

We have market economies because central planning has shown its limits.

Markets are a specific tool that is useful in some areas and destructive in others. For example, if China didn't mandate bauxite mining operations extract gallium, the mines would never build the required infrastructure because it takes ages to pay off the capital investment required to do so, if it does at all, and China would have the same capacity to manufacture LEDs and derived products as the rest of the world, almost none.

Same with batteries. There's a dozen companies, but the 5 year plans and ability to intervene if the capitalists try to not compete or hollow out their industry in the name of profit ensures those companies have the quantity and price of input those companies need to reduce the price of batteries as low as possible.

among all the engineers, who selects the competent ones?

Presumably people who are able to evaluate their performance. Unlike in capitalism where those engineers are selected by the people with the most money.

There’s a reason China builds more HSR and subway lines, ships, and solar panels than the rest of the world combined.

That could be because electric rail doesn't depend on oil that can be cut off. That is a constant threat to China.

if China didn’t mandate bauxite mining operations extract gallium, the mines would never build the required infrastructure

Which is unneeded market distortion. China could also have paid them to build it or guarantee fixed prices.

intervene if the capitalists try to not compete

That's what the laws against monopolies should do. That they are not as heavily applied as they should shows the major weakness of the West. The answer can't be to reduce competition further and hand over more control to those corrupted institutions.

Unlike in capitalism where those engineers are selected by the people with the most money.

Which gives the engineers the opportunity to rise money on their own.