From your link:

> The anti-subsidy investigation covers battery-powered cars from China, so also includes non-Chinese brands made there, such as Tesla (TSLA.O), Renault (RENA.PA) and BMW (BMWG.DE). It is also unusual in that it is brought by the European Commission itself, rather than in response to an industry complaint.

This does seem like more of a political play rather than China actually trying to flood western markets, especially considering that western EV producers are also being subsidized and that the Chinese domestic market is sufficiently large by itself.

> This does seem like more of a political play

Agreed. That's why I added "At least that's what the EU says."

The EU is clearly whining because the Chinese local market imploded, so they are now exporting more of their cars into the EU markets.

Yet, articles like the linked one make it unclear to me what part of EV production is really subsidized and what part is not. I think it would be advisable to be cautious about claims that they are already cheaper than ICE cars. At least, that's how I am looking at it currently.

There might be more than reflexive whining at play, considering the review will include European manufacturers. The Commission might be trying to gear up towards some sort of EU-wide subsidy program to match the Chinese one. It's the sort of thing that individual EU governments are explicitly banned from, by Common Market rules; but when the push comes from some of the biggest German and French businesses, a solution has to be found.

Don't worry. The EU manufacturers will get slap on the wrist, while the Chinese ones shall be hit with huge fines, tariffs and other EU antics.

And the consumer will pay for it.

> The EU is clearly whining because the Chinese local market imploded, so they are now exporting more of their cars into the EU markets.

I think it's disingenuous to downplay EU's response as "whining". The automotive industry is a strategic sector, not only in terms of economy but also directly and indirectly in defense. Shifting demand from the internal market to the output of a rival and potential threat means spending their own cash financing a rival to place it in a controlling position.