The world’s largest auto market has announced a new, comprehensive set of emission standards but also postponed the soon to be implemented credit-score program linked to electric cars.
The decision will allow automakers competing locally – especially the international ones – a bit more time to set up their strategy to phase out internally combustion engine-powered models in favor of green alternatives. The new so-called cap-and-trade policy calls for carmakers to have a new-energy vehicle score, in turn linked to manufacturing zero and low emission vehicles – the mandatory threshold is more than 10 percent starting 2019 and then 12 percent in 2020, with the rule only applying to carmakers who produce or import more than 30,000 fossil-fuel powered vehicles each year.
China’s previous plan was to impose the policy starting 2018, and of course manufacturers called it overly ambitious – the country on the other hand has planned to curb carbon emissions by 2030 and lower the worsening air pollution. “This is the single most important piece of EV legislation globally,” comments Colin McKerracher, a London-based analyst at Bloomberg New Energy Finance. “Overall, it provides further support for the EV industry in China. EV sales will continue growing quickly, despite the phase-down in direct subsidies.” BYD was leader for new energy vehicles during the first seven months of the year – with 46,855 electric and plug-in hybrid vehicles.
Via Bloomberg News