The Dolphin sells for about €6700-€8900 ($7500-$10.000) in China.

They see how the EU allows EU car companies to gouge their citizens and figured "eh, might as well join in on it. Pure profit."

Cars sold in China have 13% VAT. Cars sold in Germany have 19% VAT. Cars sold in the Nordics have ≥25% VAT. Even ignoring shipping, tariffs, local salaries, non-VAT car taxes, etc., there’s no way to price a car the same in China as in EU.