Future auto market belongs to green cars

By Wang Ke
0 CommentsPrint E-mail China.org.cn, March 11, 2010
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As the Chinese government takes concrete actions to develop a low-carbon economy, the trend for bringing cleaner and low-emission "green cars" to its roads has spread all over the country.

"If we want to move to a low carbon economy we need green cars. And as consumers, we can all set an example," said Li Weidou, president of China FAW Group Import and Export Corporation and a member of the National Committee of the Chinese People's Political Consultative Conference (CPPCC).

He said creating a market for emission-free vehicles should be a priority of the government.

"I hope the government will help boost demand for green cars, because this is good technology, even if it's expensive compared to conventional cars," he told China.org.cn on March 10.

Xinhua reported March 2 that the National Development and Reform Commission (NDRC) would include low-carbon targets in its 12th five-year plan (2011-2015) as part of a drive to build an energy-saving, ecologically friendly society.

The government will increase the proportion of non-fossil and renewable energy, including wind, solar, biomass, geothermal and nuclear, in the energy mix to 15 percent by 2020 from 9.9 percent in 2009.

"I think green cars will help realize this goal," Li said.

Toyota is currently dominant in the green car market, but its competitors Nissan and Honda as well as some US automakers are moving in. They are using gas, electronic and hybrid technologies to realize the "green dream."

Among Chinese automakers, Chery and BYD have been leading the drive to green technology.

Guo Zhenfu, an NPC deputy and president of Zhengzhou Nissan Automobile Co. Ltd., told China.org.cn on March 10, "In the conventional auto market, Japanese and Western firms have huge advantages, and would be hard for Chinese firms to catch up. But in the next generation of 'green cars' – including pure electric vehicles – the field is much more open."

He called on the government to support Chinese automakers. "Chinese companies are almost as good as foreign ones in this field. The gap is very narrow. And in some technologies Chinese companies have taken the lead," he said.

On Jan. 4, 2006 the NDRC issued a circular, encouraging auto manufacturer to pay attention to the market for low-emission cars, as the country struggles to control worsening air pollution partly attributable to the growing number of motor vehicles.

"The government should support the development of green cars because it's the right direction to go in," Guo said.

In 2009, China's passenger vehicle market grew 59 percent year-on-year to overtake the United States as the world's largest auto market. Domestic sales of cars, SUVs, minivans and multi-purpose vehicles reached 10.26 million units last year, up from 6.4 million units in 2008.

According to the Ministry of Public Security, almost 200 million Chinese have driving licenses, around 15 percent of the country's 1.3 billion population.

"More growth means more emissions and more pollution. The future of the auto market is clear – only green companies will survive and only green cars can win. It's just a matter of time," Li Weidou said.

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