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China Automobile Industry, Technology (NEV, Driverless, etc): News & Images

So, Wuhan is China's Detroit (of the glorious1960s and 70s)?

@AndrewJin

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Wuhan is one of the auto hubs. The key auto manufacturing hubs across the Mainland China are:
- Changchun, HQ of FAW (一汽)
- Wuhan, HQ of Dongfeng (东风)
- Shanghai, HQ of SAIC (上汽)
- Chongqing, HQ of Chang'an (长安)
- Guangzhou, HQ of GAIC (广汽)
- Beijing, HQ of BAIC (北汽)
 
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End of the road for international car makers in China?
How digitisation will reshape the automobile market
Merics Analysis

For many years, foreign manufacturers experienced record growth in China. But those days are over: last year, all major car makers reported slower growth in the world’s largest car market. China’s economic slowdown can only partially explain this phenomenon. The other reason is that local car brands have become serious competitors. The rapidly proceeding digitisation of cars and traffic systems in China could amplify this trend: according to surveys, 60 per cent of the Chinese would opt for the car brand that offers better digital services.

China’s homegrown Internet companies like Baidu, Alibaba, and Tencent play a decisive role in setting standards for digital communication - and they are getting ready to enter the automotive market in China. Just like Google or Apple in the U.S., some even work on plans to produce their own cars. Chinese manufacturers of smartphones, intelligent traffic or positioning systems are also clamoring to offer digital services to Chinese drivers - and to push foreign competitors out of the lucrative market.

China's policy-makers have set ambitious national goals for the „Internet of Vehicles“: according to their plans, Chinese manufacturers will provide half of the IT equipment for cars sold in China by 2020, and the Chinese Beidou technology for satellite-based navigation will replace GPS by 2030.

Are global automakers ready for these challenges? Even though the effects of current developments might only become visible a few years from now, Meissner and Wübbeke point out that "now is the time to act". They recommend that western car makers should increase their efforts to respond to the digital habits of Chinese customers - and that they should seek out opportunities to cooperate with rising Chinese competitors.

At the same time, policy-makers should take a closer look at the implications of China's plans for data security. With connectivity becoming omnipresent in the car, the question of how to protect sensitive technological knowhow becomes even more pressing. According to the authors of this paper, including China in international standardisation efforts and data protection agreements will be of crucial importance.
 
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TUV Rheinland Insight: China Replaces the US as the World's Largest Market for New Energy Vehicles

September 26, 2016

HONG KONG, Sept. 26, 2016 /PRNewswire/ -- With increasing public attention of new energy vehicles (NEVs), Tesla is the most dazzling vehicle manufacturer for its technology and development. Tesla has ambitious plans for the high-end market of NEVs, including joint investments of USD 1 billion with Panasonic in expanding production capacity of power batteries and the introduction of Model S and Model X vehicles. Meanwhile, mainstream manufacturers all announce their participation in the development of "NEVs in China". To compete against Tesla, BMW, and Audi, on September 7, the CEO of Benz China announced that at least six models of electric vehicles (EVs) would be introduced under the Daimler Plan during 2018 and 2024, and Denza would be introduced as a sub brand of NEVs.

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According to the China Association of Automobile Manufacturers, domestic and foreign brands currently account for 96% and 4% of the local EVs market respectively, among which, BYD already accounts for 30%. As a business leader in the global market, it beat Tesla in production capacity in 2015, accounting for 11.2% of the global market share. The manufacturers of NEVs in China are currently redefining the market landscape for automobiles.

China's Global Sales of NEVs Rank First, Accounting for More than 30%

Currently, China has replaced the US as the world's largest market for NEVs. In 2015, China manufactured 379,000 NEVs, representing 400% growth year-on-year. For the period ranging from 2009 to 2015, China reported cumulative sales of 448,000 NEVs, accounting for more than 30% of global sales for NEVs. In 2015, however, the US only reported sales of 123,000 alternative fuel vehicles, and the cumulative sales were approximately 400,000 units. In terms of one-year and cumulative sales, China both ranks first in the global market.

To promote NEVs, China has established a comprehensive system of top-down promotion policies. In 2015, China ranked first in terms of production and sales of NEVs, largely driven by the policy system.
  • Directive Objectives
    As expressly stipulated under the Notice of State Council on Issuing the Development Plan for Energy-Saving and New Energy Automotive Industry (2012 to 2020), by 2020, the production capacity of pure EVs and plug-in hybrid vehicles will amount to 2 million units with cumulative sales exceeding 5 million units.
  • Policy-Specific Subsidies
    According to the Notice on Fiscal Support and Policy for Promotion and Application of New Energy Vehicles from 2016 to 2020 published by four ministries, the subsidy standards are established to promote and apply a variety of NEVs, and such subsidies will decrease by 20% every two years from 2017 to 2020.
  • Restrictions on Driving and Purchase
    According to the Implementation Opinions on Expedited Promotion and Application of New Energy Vehicles in the Transportation Industry published by the Ministry of Transportation, support from local governments shall be obtained to lift restrictions on driving and purchase of NEVs.
  • Infrastructure
    According to the Smart Application to the EV Charging Infrastructure (2015-2020) published by the National Development and Reform Commission, 12,000 additional centralized EV charging stations and 4.8 million decentralized EV charging stations will be built by 2020, which will satisfy the charging demands of 5 million EVs nationwide.
Increasing Consumer Awareness Drives the Market Development of NEVs

The enormous market potential and demands in China heat up the domestic market for NEVs. In 2015, sales of NEVs peaked, with the production capacities and sales representing a year-to-year growth of 384% and 343%, among which, electrical passenger vehicles accounted for 54% and 63% of the annual production capacity and sales, respectively. This meant NEVs successfully penetrated the private consumer market. According to research by iResearch, users demonstrate an increasing and apparent acceptance of NEVs due to favorable policies and improvement in both technology and ecofriendly awareness.

Life and Replacement Costs of Batteries as Primary Factors for Ownership of NEVs

Consumers initially knew little about NEVs, but currently show a significantly growing interest in purchasing such vehicles. This is a fairly prolonged process. However, due to emerging "special treatments" for NEVs, including vigorous support from national and local authorities, unrestrictive driving requirements, and a high rate of the license plate lottery system, as well as community-based charging stations and consumers' accurate position of vehicle requirements, consumers finally choose NEVs.

In addition to such factors as macroeconomic policies, consumers stress more importance to product quality of NEVs. According to some researches, the top three factors that consumers take into consideration when purchasing a NEV are: the battery life and replacement costs; driving mileage for one single charge; and configurations of a charging station.

TUV Rheinland's Insight

Governmental policies, market direction, and consumer demands in the China market provide great momentum to promote NEVs. Although NEVs currently have an insignificant market share as compared with traditional vehicles, the market share of 30% by 2020 is a very definite goal. As a growing market in 2012, NEVs, as we could clearly see, had some room for improvement, including battery performance, technological maturity, cost, safety performance (such as discharging and personal safety), and inadequate supporting equipment.

In the automobile industry, NEVs represent a comparatively new subject, so automobile manufacturers and the market are both constantly exploring possibilities. During such process, TUV Rheinland strongly suggests the safety of EVs should be improved in the following aspects:
  1. Research and development and production procedures shall be enhanced for improving product design and mass-production quality, while functional techniques of safety design shall be introduced to the product design. In addition to technical supports to customers in the abovementioned fields, TUV Rheinland's technical specialty team will evaluate research and development and production procedures of the manufacturers of EVs and identify weak links, before providing relevant personnel with training specific for competence enhancement. Over the course of research and development, our team will, subject to the electronics development standards and functional requirements of safety design for automobiles, assist enterprises in standardizing design procedures, testing the design safety of products, and ensuring production quality.
  2. Safety testing and evaluation over power batteries will be conducted in accordance with international standards. TUV Rheinland's automotive laboratory for electronic and power batteries may assist manufacturers in conducting product reliability and safety verification in accordance with stringent testing standards.
  3. Management of charging and installation specifications and safety service providers will be implemented. To address potential issues arising from non-standard installations of charging stations for EVs, TUV Rheinland will certify the qualifications of technicians competent in installing charging stations and the business license of installation providers. Our on-site inspections over charging station installations may ensure the charging safety of EVs to the greatest extent.
  4. Safety standard training will be offered to practitioners in the NEV business to ensure personal safety. By referencing German standards, TUV Rheinland also formulates a training program for research and development, testing, and production of EVs and electronic safety operating standards for maintenance workers, which will prevent working personnel from electrical shocks during daily work and minimize the operating risks of manufacturers of EVs.
Previous periods under review:

TUV Rheinland Insight: White Paper on China's Photovoltaic Modules and Components: First Sight into Four Highlights
TUV Rheinland Insight: Most Valued White Paper on Electric Power Tools in the Eyes of Connoisseurs

Contact:
Simon Hung
Section Manager | Marketing Greater China
Tel: +852 2192 1948
Fax: +852 2192 1010
Email: Simon.Hung@tuv.com


Original article: http://finance.yahoo.com/news/tuv-rheinland-insight-china-replaces-073900535.html
 
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The Electric Car Market Has A 'Chicken Or Egg' Problem -- And China Is Solving It
Jack Perkowski ,
CONTRIBUTOR
SEP 26, 2016 @ 10:45 AM

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A man at an electric vehicle at a charging point in Linan, east China’s Zhejiang province in March 2016. (STR/AFP/Getty Images)

Electric Vehicle (EV) makers across the world face a classic “chicken or egg” problem.

Concerned with the range of EVs and the availability of charging stations, consumers are reluctant to forsake their traditional internal combustion engine-powered cars in favor of those powered by batteries. Yet, building a charging infrastructure is expensive, and investors are understandably reluctant to commit capital until there is a market. So what will come first: the cars or the charging stations?

A variety of forces are now converging in China, which are enabling the country to break this deadlock. Dense urban populations, a love affair with the automobile, worsening air pollution and the country’s shortage of energy resources have encouraged the government to promote the development and sales of new energy vehicles (NEVs), generally considered to be hybrid electric vehicles and pure EVs.

Opening up to private capital

In addition to providing a wide range of tax and financial incentives for the industry, China has increased emphasis on research development; exempted NEV buyers from license plate restrictions; and opened up its power sector, traditionally an industry reserved for state-owned companies, to private capital. In May 2014, China began allowing private companies to invest in electric charging and replacement stations when China’s State Grid announced that it would support the development of privately-owned distributed energy resources.


These measures appear to be producing results. Sales of EVs and plug-in hybrids increased fourfold to more than 330,000 units in 2015 and have increased a further 162% so far this year.

Also, capital has been pouring into the industry to create the all-important charging infrastructure. At the end of June, there were approximately 81,000 public charging stations in China, up 65% compared to the end of 2015. During the same period, the number of private charging stations rose 12% to more than 50,000, according to the National Energy Administration.

Investments in charging stations

Private entrepreneurs, large Chinese car companies, private equity funds and companies with excess cash are all looking to get involved. Investments are being made in companies that manufacture charging systems; companies that construct and operate charging stations; and companies that provide a wide range of ancillary services to EV customers.

In July 2014, TGOOD Global Ltd., a Hong Kong-based global leader in prefabricated E-Houses and electrical substations, funded a separate charging subsidiary, which is believed to be the first substantial investment in the industry by a private company. TGOOD has more than 30 patents in EV charging station technology, and in 2015, the company successfully completed an electric taxi charging depot in Qingdao. Additional city-wide projects are slated for construction in Beijing, Tianjin, Hefei and Huizhou.

In September, 2015, Beijing Dianzhuang Technology Co, a start-up that builds and rents charging posts, said it received “tens of millions of yuan” from LeEco, a Chinese internet entertainment giant that is often referred to as the “Netflix of China.” Leveraging its internet content, capability and subscriber base, LeEco itself has begun to design and produce connected EVs and understands the importance of the charging infrastructure to the industry’s development. Jia Yueting, LeEco’s founder and chief executive, said that building a charging infrastructure is the biggest obstacle for the new-energy auto market in China, and that selling electric cars before building charging posts “won’t work.”

In October, 2015, SAIC said it has invested RMB 300 million ($45 million) to set up a charging subsidiary, whose services will include the construction of charging systems and terminal networks and other services for NEVs in Shanghai’s Huangpu District. SAIC’s new subsidiary plans to build 50,000 public charging piles in China by 2020.

Finally, in February of this year, Chargerlink, a Shenzhen-based start-up focused on providing charging station solutions for EV manufacturers such as Tesla, BMW, Nissan and BYD, raised $20 million from a group of venture capital firms. Chargerlink plans to expand its product line to include location based services at charging stations.

China is now the undisputed global leader in NEVs

Going forward, China’s goal is to have 4.8 million charging stations in operation by 2020, capable of meeting the charging needs of 5 million EVs. Almost one-half of the charging stations will be located in three smog-affected regions of China—the Beijing-Tianjin-Hebei Area, the Pearl River Delta and the Yangtze River Delta. In addition to the Central Government’s initiatives, municipalities such as Beijing, Shenzhen, Hangzhou and Guangzhou have formulated their own plans for EV and charging station popularization.

After an initial round of industry hype nearly ten years ago, punctuated by legendary investor Warren Buffet’s decision to buy 10% of BYD for $230 million, China’s EV industry fizzled and went to sleep. Manufacturers and consumers alike lost interest, largely because the development of an adequate charging infrastructure seemed a long way off.

This time around, the trend is on more solid footing with both favorable government policies and strong capital support from the private sector. China is now the undisputed global leader in NEVs, a title it is likely to hold for a long time to come.

http://www.forbes.com/sites/jackper...a-electric-car-charging-station/#60c786d73221
 
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China need to build up a large charging point consolidate database on Internet. So that tech savy user can easily located charging point if they go for longer distance road trip. This will be more appealing for electric car.
 
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China's automakers aim to be more premium than peers
China Daily, September 26, 2016

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A Borgward BX7 is displayed at an auto show in Haikou, Hainan province, on Sept 10. [Photo/China Daily]

More domestic car brands have demonstrated their eagerness for recognition as premium, although none of the Chinese peer group have yet revealed a strategy that will lead them to the top. Although there are previous failures that serve as lessons from which the industry can learn, some of them might still not find the keys to customers' hearts.

Geely Automobile Holdings Ltd expressed its ambition to build premium lineups on its first universal platform. Meanwhile, Beijing-based Beiqi Foton Motor Co Ltd is offering an SUV carrying the originally Germany Borgward badge at a price of up to 300,000 yuan ($44,979).

When companies talk about "premium", they usually mean a "premium pricing strategy", setting the price of a product higher than similar products, as an attempt to seek maximum profit in a segment where customers are willing to pay extra.

Theoretically, a customer would settle the bill when he or she perceived the difference between the product and other similar ones, when there are limited alternatives, or when production costs could not be lowered.

But Geely and Borgward, which are looking to climb up the premium ladder, need a halo effect to persuade customers during their decision-making process. In the automotive field, customers' feelings and thoughts reverse primarily due to trend-setting designs and cutting-edge technologies.

A well-known example of this comes from Volkswagen's China business. The company shifted its mass models well away from its peers after boasting its unique "T&D" powertrain, which consists of a turbocharged engine and direct shift gearbox.

Chinese customers perceived the difference, as T&D doubled the vehicle's fuel economy and so halved its petrol consumption. There is no comparable function in the market, at a time when the gasoline price has hit 8 yuan a liter. So, customers are willing to pay a higher amount for a compact Golf or Sagitar, as high as some other international brands' mid-size models.

There were of course other factors that helped Volkswagen move upward, as these models and the DSG feature stepped down from the altar. But can we name one or two factors helping Geely go premium? Does Geely possess any superior difference from other premium rivals to convince customers to pay much more?

Geely's jointly developed compact modular architecture platform and the input from a Swedish design lead team are impressive, thanks to its connection with Volvo Cars. Looking back, Geely Automobile has successfully become far more premium than it used to be. But, when we look around in the overall premium segment, at least in the eyes of the Volkswagen fans, Geely today remains in need of something new to match Volkswagen's T&D offering.

As for the revived Borgward brand, it is already a success for Beiqi Foton, a business vehicle maker who might not have expected much. The automaker could apply a strategy to enter the passenger car market, to become as high profile as possible. After it has attracted enough potential customers that understand the brand, a later downgrade could be possible to achieve greater volumes.

Also, Borgward could learn from the Sino-Israeli joint venture Qoros Automotive Co Ltd, which cut its suggested retail prices by as much as 50,000 yuan last year after claiming to be premium since it was established in 2007.
 
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China to build more electric vehicle charging stations

Source: Xinhua | 2016-09-12

BEIJING, Sept. 12 (Xinhua) -- China will accelerate construction of electric vehicle charging facilities in residential areas to boost production and sales of green cars, the country's top economic planner said Monday.

More electric vehicle charging stations will be built in pilot cities in Beijing, Tianjin, Hebei Province, Shandong Province, and major cities in the Yangtze River Delta and Pearl River Delta, according to a document jointly released by the National Development and Reform Commission (NDRC) and three other central departments.

Electric power companies are asked to help construction of charging stations, said the document.

NDRC data showed that there were about 81,000 public charging stations in China as of the end of June, up 65 percent compared with the end of last year.

Electric cars are gaining popularity in China due to strong government support and incentives.

According to the China Energy Administration, China plans to build a nationwide charging-station network that will fulfil the power demands of five million electric vehicles by 2020.
 
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Dare Group acquires German supplier of acoustic insulation
Automotive News China | 2016/10/4
The Liaoning Dare Industrial Co. -- known as the Dare Group -- confirmed plans to acquire Carcoustics, a medium-sized German supplier of acoustic insulation. Carcoustic's owner, AlpInvest Partners, did not disclose the sale price. But Reuters, quoting unnamed sources, says the deal is worth about 200 million euros (1.5 billion yuan).

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Chinese supplier to build $30 million interior trim plant in Romania
Automotive News Europe | 2016/10/4
Ningbo Huaxiang Electronics Co. Ltd. has signed a memorandum of understanding with Hib Rolem Trim to build a $30 million (200 million yuan) factory in Romania, according to InvestRomania, an economic development organization. Early next year, the partners will begin construction of the 15,000 square meter facility, which will launch production in 2019. The plant will employ 265 people.
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Small Chinese automaker Zoyte to build self-driving cars in 2018
Automotive News China | 2016/10/4
http://www.autonewschina.com/en/article.asp?id=15295
Small Chinese carmaker Zoyte Holding Group says it will start production of its first self-driving vehicle in 2018, joining a growing list of Chinese automakers in the race to design automated vehicles. The vehicle is adapted from Zoyte's T600 crossover and carries the automaker's own Tye-net telematics system. A prototype rolled off Zoyte's assembly line in May.
 
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So, Wuhan is China's Detroit (of the glorious1960s and 70s)?

@AndrewJin

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I have lived in Michigan, US. To be honest, you wouldn't want to use Detroit (or Motown) as your model.

During its heyday, the big three (General Motors, Ford and Chrysler) had their headquarters in Detroit and it was doing very well. At that time, I was working for one of them.

Detroit is now in the doldrums, the city is run down and crime is everywhere. It is competing with a few other cities to be the "murder capital" of US.

Just my 2-cents.
Most of the assembly plants were gone by the early 1970's. Building cars in Detroit was too expensive (especially taxes). In fact the plants were mostly in the suburbs. They eventually moved the plants out of state to regions where labor was cheap (and the union bosses had little influence)
 
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Chinese automaker Lifan unveils new model for Argentine market
October 06, 2016, Xinhua

BUENOS AIRES, Oct. 5 (Xinhua) -- Chinese automaker Lifan has recently unveiled its new model X50 in Argentina, where the small-size SUV will sell for 245,000 pesos (about 16,333 U.S. dollars).

"October is Lifan X50 month," the carmaker announced in a press release, saying the compact crossover SUV will be available at "a promotional introductory price" at the company's showrooms in Buenos Aires and three other cities.

"Since we presented the model (at the 2014 Beijing Auto Show) we have had a very good response from the public," said Paula Cavicchioli, general director of Lifan Argentina.

"At first glance, the Lifan X50 draws your attention with its attractive design, and when you take into account how well-equipped it is and the price, people are surprised," she added.

The vehicle is the third Lifan model unveiled for the Argentine market.

In March, the company launched the Lifan X60, one of the largest SUVs in its class, and in April it presented the Foison Truck, a dual-row mini truck that compared with the same-class competitors "has more room, (and) stronger load bearing capacity and power."

Lifan Argentina has 11 showrooms in the Greater Buenos Aires area and in the cities of Rosario, Ushuaia and Bahia Blanca.

The Lifan X50, a "city SUV," is powered by a 1.5L VVT engine and has front-wheel steering and other features.

Lifan was introduced to Argentina during the Buenos Aires International Auto Show in June 2015 and has accelerated its expansion in this region.
 
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  • VW will build budget EVs with China's JAC under new brand

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Staff report
Automotive News China


October 5, 2016 06:01 CET

PARIS -- Volkswagen Group will assemble low-priced electric cars at a joint venture it plans to establish with China's Jianghuai Automobile, VW China chief Jochem Heizmann told Chinese media.

The vehicles will be built on JAC's electric car platform and will be marketed under a new brand, Heizmann said at the Paris auto show last week.

Doing so would allow VW to quickly start EV production in China, Heizmann said.

Last month, VW and JAC signed a memorandum to incorporate an EV joint venture. The two parties expect to ink a definitive agreement later this year.

Heizmann also said that Volkswagen's joint ventures with SAIC Motor Corp. and China FAW Group Corp. will produce EVs built on Volkswagen's EMB platform for electric cars. That will occur in 2020 or 2021.

Local EV production will allow VW to meet China's increasingly strict fuel economy requirements as well as its requirements for EV production.

By 2020, automakers operating in China must cut average fleet fuel consumption to 5 liters per 100 km, down from 6.9 liters as of last year. That would equate to an average fuel economy of 47 mpg, up from 34 mpg.

In 2018, Beijing also plans to introduce a California-style carbon trading scheme that will require automakers with sales exceeding 50,000 vehicles to produce EVs locally.

For the first eight months, VW sold 2.47 million passenger vehicles under its various brands, an increase of 9.4 percent from the same period last year.

http://europe.autonews.com/article/...ld-budget-evs-with-chinas-jac-under-new-brand
 
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ZD mini rolls into Europe car time-sharing market
China Daily, October 10, 2016

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The ZD mini on display at an expo of electric vehicles in Canada. [Photo provided to China Daily]

Shandong Xindayang Electric Vehicle Co Ltd -- maker of the popular ZD mini electric vehicle -- said it is moving into the fast lane to promote and expand its time-sharing rental business in the European market, amid growing demand for small EVs on the Continent.

Car time-sharing, a new model in the car rental industry, has been successfully promoted in European countries, and the Chinese company's ZD brand of EVs are appearing in cities across Italy, including Rome, Milan, Florence, Turin and Pisa.

ZD started a time-sharing rental business in Milan in July 2015.

"Chinese families need to own at least one car, but Europeans want a cheap and convenient driving experience and prefer to rent a car," said Michael Bai, director of international marketing.

"We first exported EVs to Italy at the end of 2012 and sold about 300 to 400 units in 2013. We started the leasing business in 2015 as we developed a car time-sharing rental system," said Bai.

Although ZD concentrated on retail business in Europe at the start, now it is giving top priority to car rentals, regarding the retail business as a supplement.

The company currently has 800 electric vehicles and 40,000 members in Milan alone. In Italy, most time-sharing rental members take out a car for only 10 to 13 minutes, as a short-term connection tool in the city.

Bai said the cost was cheaper than the traditional vehicles, with a fee of only 20 euro cents (20 US cents) per minute.

"The Milan government has offered 270 charging posts, especially for ZD for free, and our cars can be parked in any areas in the city," said Bai, adding that his company now had 1,000 units in total used for the rental business in Italy.

"We plan to expand to France, Spain and Slovenia. The EV rental business is developing very fast in Europe," said Bai.

The firm participated for the second time recently in the Automechanika Frankfurt, the world's leading trade fair for the automotive service industry. It was held in Frankfurt from Sept. 13 to 17 and Bai said his firm struck more deals at the event.

With Chinese outbound tourism booming, mainland tourists like taking to the roads by renting cars in foreign countries. Eyeing the huge opportunities, ZD said it has cooperated with travel agencies to launch a package service.

The company said there are both opportunities and challenges for it in Europe. "Traditional fuel vehicles still hold a dominant position in Germany-the likes of BMW, Audi and Mercedes Benz-and the development of EVs is relatively slow," said Bai.

"Moreover, the cruising range of EVs and the need for charging facilities poses a challenge."

He added, however, that because of the push to tackle pollution and reduce carbon emissions, European governments were encouraging EVs.

Analysts said the roll out of charging infrastructure was a key factor in the development of car time-sharing with electric vehicles.

"The location and number of charging posts is a major consideration for consumers," said Zhang Junyi, a partner with Roland Berger Strategy Consultants Greater China.

Zhang added that the rollout of charging infrastructure was a springboard for EV companies to promote their products, suggesting EV firms should work together with various governments to boost the construction of charging posts.
 
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Beijing to build China’s largest research center for new energy vehicles
By Yin Xiaohong (People's Daily Online) October 14, 2016

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New energy cars of the BAIC Group

By 2020, Beijing will be home to China’s largest research and application center for new energy vehicles, according to the Information Office of Beijing's municipal government and the Beijing Municipal Science & Technology Commission. The organizations made their announcement at a press conference about technological innovation during the 13th Five-Year Plan period.

Policies to promote new energy vehicles will be updated and improved, setting up pilot cities and creating a welcoming environment for the new technology. Meanwhile, Beijing will working on developing fuel cell vehicles and intelligent vehicles.

Three bases for new energy vehicles - in Beijing's Daxing, Changping and Fangshan districts - will be established. Complete vehicle enterprises, such as BAIC Group and Changan Auto Corporation, will be given special support.
 
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Electric car development roadmap to be unveiled
2016-10-17 10:52 | China Daily | Editor: Xu Shanshan

In December, China will release the first new energy vehicle industry development roadmap, possibly proposing mild hybrid cars as energy saving vehicles, as one of the moves to guide the sector's development in the world's largest electric car market.

The drafting of the industry roadmap, including roadmaps for seven related technologies, was led by the Society of Automotive Engineers of China, and is now subject to government review and modifications.

"The nation's electric vehicle sector may need another 15 years of development before reaching a world-leading level, so the government weighs in heavily on new energy vehicle research and development," Fu Yuwu, chairman of the Society, told a forum on Oct 12. The event took place on the sidelines of the Wuhan Motor Show 2016, organized by Hannover Milano Fairs Shanghai.

The society will propose mature mild hybrid technologies as an alternative approach to cut fuel consumption and emissions.

Fu said: "Mild hybrid consumes less fuel than combustion, so our society propose hybrid technologies without plugs be included in the roadmap as energy saving vehicles."

If listed among energy saving vehicles, mild hybrid car buyers will be eligible for thousands of yuan purchase tax cut. A stimulus measure, effective from Oct 1, 2015, halved the tax on purchases of passenger vehicles with engines that are 1.6 liters or smaller.

Efforts were also made to boost the new energy sector's development through guiding the input of social resources toward the emerging sector, now that the fiscal subsidies provided to purchase them are shrinking.

Aiming at increasing carmakers' R&D activities relating to new energy vehicles, the Ministry of Industry and Information Technology is about to roll out a dual-credit scheme for mandatory production, in the hopes of at least highlighting the social costs incurred in reducing car emissions.

The country is only admitting new energy carmakers into the auto manufacturing industry, halting the approval of conventional vehicle makers.

Beijing-based vehicle design firm CH Auto Technology received approval to be a standalone new energy passenger carmaker on Oct 10. It is the third of its kind approved by the National Development and Reform Commission, after BAIC Group's electric car making arm Beijing Electric Vehicle and Hangzhou Changjiang Passenger Vehicle.

The Society views the manufacturing levels of the emerging battery powertrains as being the main issue for the Chinese new energy sector.

Gao Bowen, sales director of Dongfeng Electric Vehicle, said that the nation's new energy vehicle development is in its elementary stage.

She said the domestic technology in traction batteries is not mature, so many companies have concerns about promoting the wide usage of fully electric cars. Customers also worry about safety issues.

"Dongfeng employs a safety monitor system that tracks each individual electric car in its lifetime, to detect every single flaw. Besides, the battery rental and replacement model is in our survey and research plan, to save customers from concerns regarding battery life."
 
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