Review of China auto industry

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New-energy fever

 

Billboard promoting new energy vehicles. [Photo / Asianewsphoto]


A range of domestic and foreign carmakers plan to offer new-energy vehicles to buyers in China, which is facing the dual pressures of pollution and fuel shortages.

The companies include Volkswagen, BMW, Nissan, Honda and Toyota as well as homegrown brands Chery, Geely, BYD and SAIC. Volkswagen, the biggest passenger car provider in China, announced that it will build its Golf and Lavida blue-e-motion electric cars at its two joint ventures in China between 2013 and 2014.

Governments at various levels are also backing the development of hybrid and electric vehicles. Owners of purely electric cars in five pilot cities - Shanghai, Changchun, Shenzhen, Hangzhou and Hefei - have been eligible for a subsidy of 60,000 yuan since June this year. Owners of plug-in hybrid cars can receive up to 50,000 yuan.

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