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Business / Auto China

Central govt gives a jolt to new-energy auto industry

By Li Fusheng (China Daily) Updated: 2015-11-09 08:06

Many automakers as well as companies in other industries are joining to help build the charging network.

BJEV, the new-energy vehicle arm of Beijing Automotive Industry Corp, is planning to build 10,000 charging posts in the capital by the end of this year, as reported by Beijing Suburbs Daily.

Shanghai Automotive Industry Corp said it has established a company called Anyue, which is dedicated to building and operating charging posts. Anyue plans to build 50,000 charging posts nationwide by 2020.

In early September, LeTV, a Beijing-based Internet company, invested in a new-energy vehicle charging station producer, Beijing Dianzhuang Technology Co.

The startup has set up five centers across China and built charging stations in more than 30 cities, including Beijing, Shanghai, Guangzhou and Chengdu.

Shenzhen-based telecom maker ZTE is working on wireless charging. Chinese reports said the technology has been put into use in several cities and ZTE will invest another 350 million yuan ($55.1 million) on the technology over the next two years.

Easier access to charging infrastructure will help the demand shift from public transportation to private passenger cars, said Wilson Liu, automotive industry leader of PwC China.

He estimates China will have the largest charging network worldwide by 2025.

Experts also expect China to step up its research and development in the new-energy vehicle industry.

Ouyang Minggao, a professor at the department of automotive engineering at Tsinghua University, said battery and power management, electric motors, plug-in hybrid systems, fuel cell systems and smart electric cars will be among the R&D priorities over the next five years.

PwC said new business models will also help promote the industry's development, like Daimler's car-sharing program and BMW Brilliance's lease plan for its electric car Zinoro.

"This will be another boost to the new-energy vehicle industry. We expect this will lead to a range of promotions. For instance, we anticipate leasing will be popular, at least in the short term," said Jin.

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