Government sponsored R&D can yield great results. The US sponsored an actual 'moonshot' last century, with well known results. That spawned a lot of industrial activity.

What China is doing here is both smart and strategic and they have been doing it for decades. Their solar activities can be traced back to the 1980s. They are creating new export industries and stimulating economic growth by investing in disruptive things where they believe they can succeed. Meanwhile the US is pretending coal is fine, and the EU is pretending Diesel is fine or that shifting from either to the euphemistically called natural gas is an actual solution. Change is slow there because politicians are not acting to provide the necessary incentive for industries to do what is needed. As a consequence, there are several major industrial players at risk of disappearing or being marginalized. This will hurt, a lot. Politicians are afraid to do what is necessary. This creates the opportunity for China to take over; they spotted that years ago; and they are now succeeding.