The impact of government subsidies on R&D investment of listed companies in China's new energy vehicle industry-based on the perspective of industrial chain

Over the past decade, Chinese government has invested large amounts of government subsidies to support the development of new energy vehicle (NEV) industry. Whether the government subsidy has achieved the expected effect and how to further adjust the subsidy policy to better promote the development of the NEV industry have received wide attention. This paper considers the characteristics of technological innovation and financing constraints of enterprises at different position of the NEV industry chain, and empirically test the incentive effect of government subsidies on R & D investment from the perspective of the industry chain. The research findings show that government subsidies promote the R & D investment of all enterprises in the NEV industry chain, however, the promotion effect on upstream and midstream enterprises is more significant. With the reduction of consumption subsidies, the promotion effect of government subsidies on the R & D investment of listed companies in the NEV industry has been strengthened. Further research finds that government subsidies promote R & D investment by alleviating the financing constraints of upstream and midstream enterprises. There is an industry chain synergy effect in the technological innovation of new energy vehicle enterprises, and government subsidies can promote this synergistic effect from upstream to downstream.