Most western countries subsidize the purchase of EVs, regardless of where they're manufactured. China subsidizes manufacturing EVs (and also purchase, but that's irrelevant if you're not buying in China). If you buy a Chinese EV in a western country that has EV subsidies, they get to double dip in subsidies, while also paying their employees significantly less due to the lower CoL in China.
Should European countries also start subsidizing manufacturing? I don't think we could afford it, particularly if we wanted to truly compete and subsidize cars sold to China as well, like they do. China simply has too much money and it's amplified even further by the super cheap labour.

