Absolute dominance of local brands is one of the most salient features of China’s regional battery electric vehicle (BEV) market. We use the entry of local BEV enterprises from 2016 to 2019 as a treatment to analyze how the presence of local producers shapes the regional market structure of...

We study the impact of Tesla’s entry into China’s Electric Vehicle (EV) market. We find that Tesla’s entry has substantially increased the demand for EVs in China, and therefore has benefited Chinese EV producers. However, we also find that this positive impact is nullified for local EV...