Market Developments
GOING GREEN IN CHINA
SHANGHAI: Worried by severe air pollution and rising dependence on imports of Middle Eastern oil, the government of China is putting enormous pressure on domestic and foreign automakers alike to help the country catch up in the use of gasoline-electric hybrid engines and other advanced technology.
Chinese automakers at the recently concluded Shanghai auto show unveiled a broad array of prototypes for fuel cell cars, gasoline-electric hybrid cars and electric battery cars. The variety and sophistication showed a dramatic improvement, not just since the previous Shanghai auto show two years ago when the Chinese demonstrated scant technological innovation, but even since the Beijing auto show in November.
Multinational carmakers like General Motors and Volkswagen have begun cooperating closely with Chinese partners on the development of hybrid gasoline-electric vehicles. Larry Burns, the GM vice president for research and development, said that the company also was in talks with a Chinese joint venture partner on the sharing of hydrogen fuel cell technology.
Universities and technical institutes across China have started advanced vehicle propulsion research programs, combining strong government financial backing with rapidly growing ranks of skilled engineers in China.
China has already imposed more stringent fuel economy standards than the United States - although not quite as stringent as the semi-voluntary standards that automakers have accepted in the European Union.
Date: 22 May 2007