China's annual production of new energy vehicles (NEVs) has surpassed the 10 million milestone, marking a significant leap toward a greener future. The achievement was celebrated at a ceremony in Wuhan, Hubei Province, where a pink Voyah Zhiyin NEV SUV was showcased rolling off the production line. Videos displaying NEVs from various manufacturers highlighted the rapid advancements within China's auto industry.
Analysts consider this a historic moment, emphasizing the transformation of China's automotive sector and its role in the global shift toward sustainable transportation. \"Developing the new energy industry and advancing green, low-carbon transitions are shared goals for countries worldwide,\" stated Xin Guobin, vice minister of the Ministry of Industry and Information Technology. He further noted that NEVs are pivotal in global efforts to combat climate change and protect the environment.
Fu Bingfeng, executive vice president and secretary-general of the China Association of Automobile Manufacturers (CAAM), remarked that this milestone not only signifies progress for China's auto industry but also underscores the country's expanding contribution to global green development and carbon reduction.
According to official data, the NEV market share in China was just above 1 percent in 2015. However, it has surged dramatically, with NEVs surpassing fuel-powered vehicles in market share for the first time in July this year. That month alone, retail sales of NEVs nationwide reached 878,000 units, accounting for 51.1 percent of the domestic market.
The trend towards promoting a green shift in the auto industry is set to continue. China's development of the NEV sector aligns with the growing global demand for sustainable automotive solutions. A report from the International Energy Agency highlighted that electric cars, including both battery electric and plug-in hybrid vehicles, made up approximately 18 percent of all cars sold worldwide in 2023, up from 14 percent in 2022 and merely 2 percent in 2018. The report concluded, \"These trends indicate that growth remains robust as electric car markets mature.\"
Despite the impressive production numbers, China's NEV exports represent only a small fraction of its total output. Last year, out of approximately 9.59 million NEVs manufactured, about 12 percent were exported. Data from the CAAM reveals that domestic sales of NEVs reached 8.692 million units in the first ten months of this year, marking a year-on-year increase of 38.3 percent. This growth rate is over 30 percentage points higher than that of exports.
International automobile companies are also ramping up their NEV production in China. Companies such as Tesla, BMW, and Toyota are expanding their manufacturing footprint. For instance, Toyota has established one of its largest overseas testing and R&D centers in Changshu, Jiangsu Province, and recently opened an advanced technology research center in Shanghai. Meanwhile, Tesla commenced construction in May on a mega factory in Shanghai to produce its energy-storage battery Megapacks.
Reference(s):
cgtn.com
