China to become leading market for EVs in Asia Pacific by 2015
Across the Asia Pacific region, various national-level initiatives and programs are underway to promote the awareness and adoption of EVs, including the establishment of aggressive goals, subsidies for EV purchasers, research and development support, tax incentives, and public education programs, said Pike.
Market players in Japan and Korean, however, are concerned about new challengers, mainly driven by competition in China. The Chinese EV market has critically important implications for global market participants.
Driven by rising prices for imported oil and a determination to reduce emissions of greenhouse gases, China is making a major push to develop new energy vehicles, propelled by electricity, hydrogen, and clean diesel fuel. The country has one of the most extensive automobile industries in the world, with over 150 finished auto manufacturers.
In contrast to Japan, where plug-in hybrid electric vehicles (PHEVs) will continue to be the largest category of EVs, Chinaâ€™s central government has placed a strong emphasis on battery electric vehicles.
Considering that the market for hybrid EVs is already led by Japanese manufacturers, Chinaâ€™s focus on pure EVs could help drive that segment of the overall market.
Senior analyst Andy Bae said: â€œChina, where around 55 vendors are developing electrified vehicles or launching EV development programs, will likely create and lead an entirely new category around clean transportation. The country will become one of the biggest consumer markets for EVs, and global industry players want to enter this market to tap the related opportunities.â€
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