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New energy vehicles will see remarkable breakthrough in 2020

Echo From Gasgoo| November 08,2017

china new energy vehicle market

Shanghai (Gasgoo)- As a pioneering leader in developing new energy vehicles, China has always given a lot of weight to the sustainable development of human society and natural environment. Xu Changming, the deputy director of the State Information Center (SIC) predicted in the Fifth Sino-Korea Automotive Industry Development Seminar held on November 2nd that new energy vehicles will see a remarkable breakthrough in the quality of development from 2020. Under the theme "Future Vehicles", the Seminar invited top experts from auto industry of China and Korea. Their dialogues and discussions were closely related to new energy vehicles like hydrogen fuel-cell cars, smart cars internet and autonomous driving technology.

According to Xu Changming, the scale of the auto market in the future will increase 50%. Considering the purchase limit policy, Mr. Xu predicted that the total number of cars in 1,000 Chinese people is around 400, and in proportion to 1.5 billion people, the total population of China, the number of cars owned by Chinese should be 600 million. Then divided by the car scrapping period, given it is 15 years, the sales should be 40 million, which is 50% higher than the current total sales. In such a promising market, new energy vehicles will maintain a significant position.

To stimulate the development of new energy vehicles, Chinese government granted considerable subsidies. Last year, the subsidy for one car could reach more than 90 thousand. Though the subsidy has been phasing out this year and may be cancelled in the future, Xu Changming still believes, the future of new energy vehicles industry is promising. The current new energy vehicles market is policy-driven, yet as the factors that encourage market-driven model increases, the industry will see a market-driven market before 2025.

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