CATARC report - December 2014: New Energy Vehicle trends in China

November energy vehicle production grows due to increase in EV and PHV bus production


Production volumes in China (Summary)

This report is based on a report by Beijing CATARC Automotive Technology Development Company*;
MarkLines has edited and translated the company's report to prepare this report.

Fig. 1 Production volume of electrified vehicles by vehicle type
(January to November 2014)

  Production volume of electrified vehicles in China in November 2014 was 10,361 units, which was the next highest production volume to that of the record high in September. Production volume increased by 4.2-fold year-over-year (y/y) and by 14.2% month-over-month (m/m). As for the breakdown, production volume of new energy vehicles—electric vehicles (EVs) and plug-in hybrid vehicles (PHVs)—increased by 7.6-fold y/y and by 2.2-fold m/m to 9,975 units. Of these units, 959 units were passenger EVs equipped with lead-acid batteries, 176 units were specialty vehicles equipped with lead-acid batteries, and 8,838 units were vehicles equipped with lithium-ion batteries. Production volume of hybrid vehicles (HVs) was 386 units. Production scale of EVs and PHVs was greater than that of HVs by 26.7-fold.

  Looking at production volume of electrified vehicles in November by vehicle type, production volume of passenger cars was 6,798 units with a market share of 65.6% (of which 6,523 units were passenger EVs and PHVs and 275 units were passenger HVs). Production volume of buses was 3,056 units with a market share of 29.5% (of which 2,945 units were EV and PHV buses and 111 units were HV buses). Production volume of EV specialty vehicles was 507 units with a market share of 4.9%. In addition, from the previous month, production volume of passenger HVs and EVs decreased while production volume of HV, PHV, EV buses, and EV specialty vehicles increased. Because the introduction of EV and PHV buses as public transport has progressed, production volume of these vehicles in November increased by 2.1-fold m/m to 2,945 units, which was the next highest production volume to that of September 2014. Production volume of EV specialty vehicles doubled m/m.

Fig. 2 Transition of hybrid vehicle and new energy vehicle production shares (January to November 2014)

Fig. 3 Transition of new energy vehicle production shares by vehicle type (January to November 2014)

Production volumes in China

Passenger EV

  In November 2014, 36 passenger EV models went into production. Because of the large number of models that went into production, it is said that 2014 is “the first year for new energy (EV and PHV) passenger cars.” The main passenger EV models that went into production were Chery Automobile Co., Ltd’s eQ EV, Tianjin FAW Toyota Motor Co.,Ltd.’s Ranz E50, and China Changan Automobile Group Co., Ltd.’s Eado EV. Most of the passenger EVs were equipped with ternary lithium-ion batteries. 11 of the 36 models and 80% of the vehicles that went into production adopted ternary lithium-ion batteries.

  Looking at production volume of passenger EVs in November by automaker, Beijing Automotive Industry Holding Co., Ltd. (BAIC), which was first place last month, produced over 1,300 units and was able to keep its position as first place. BAIC produced a little less than 300 units of its new EV200 model in November. Looking at production volume of passenger EVs by cruising range, the market share of vehicles with a cruising range of 200 to 300 km expanded to 7.5% upon start of production of the EV200.

Cruising range
Main use
Over 300 79 2.0 29 1.1 188 4.2 256 5.6 88 2.1 Taxi
200 - 300 1 0.0 0 0 74 1.7 3 0.1 309 7.5 Individual use
150 - 200 2,670 66.2 2,041 74.9 1,912 42.8 2,067 45.2 1,869 45.1 Taxi
Individual use
Rental car
100 - 150 104 2.6 13 0.5 220 4.9 161 3.5 35 0.8 Individual use
80 - 100 1,181 29.3 643 23.6 2,071 46.4 2,088 45.6 1,845 44.5 Individual use
Total 4,035   2,726   4,465   4,575   4,146    

Note: November cruising-range data for 18 vehicles were not available; therefore, they were not included in the total above.

Table 1 Production volume and market share of passenger EV by cruising range (from July to November 2014)


Passenger PHV

  BYD’s Qin continued to keep first place for production volume of passenger PHVs in November. Production volume of the Qin in November was a little less than 1,800 units. The competitors of the Qin were SAIC Motor Corporation Limited’s Roewe 550 PHEV, Guangzhou Automobile Group Co., Ltd.’s Trumpchi, and China Anhui Jianghuai Automobile Co., Ltd. (JAC)’s Heyue iREV. Production volume of the Roewe 550 PHEV in November was 500 units and it ranked second place.

  As for hybrid systems, the Qin has adopted a parallel hybrid system, the Roewe 550 PHEV has adopted a series-parallel hybrid system, and the Heyue iREV has adopted a series hybrid system. The Heyue iREV has a fuel economy of 2.8 L/100km, which is the highest fuel economy in passenger PHVs.

HV bus

  Production volume of HV buses increased by 3.7-fold m/m to over 100 units in November 2014. Because the Chinese central government did not provide subsidies, HV buses were not produced from June to August 2014. However, there is likely to be a demand for certain HV buses because production volume has expanded after the production of the buses resumed in September.

Electrified vehicle import

  The number of passenger EVs that were imported in November 2014 was 518 units of which 514 units were Tesla Motors’ Model S and 4 units were BMW’s i3. The number of passenger EVs that were imported from January to November 2014 were 4,000 units of the Model S and 150 units of the i3. As for PHVs, 18 units of the BMW i8 were imported in November. The number of passenger HVs that were imported was 2,633 units of which Toyota’s Lexus brand accounted for a little over 1,800 units.

Trends in China

Ministry of Industry and Information Technology announces progress on the prevalence of new energy vehicles

  The Chinese administrative department, Ministry of Industry and Information Technology, announced the progress on the prevalence of new energy vehicles in provinces and cities. Prevalence of new energy vehicles in 39 areas from January 2013 to September 2014 was 38,600 units; of which prevalence from January to September 2014 was 20,500 units. Provinces and cities with a high prevalence rate were Hefeiin Anhui Province, Zhejiang Province, Shanghai City, Zhengzhou in Henan Province, and Jiangsu Province. As of the end of October 2014, prevalence policies for new energy vehicles have been launched in 65 cities.

New models of new energy vehicles adopt ternary lithium-ion batteries

  Beiqi New Energy Automobile Co. Ltd.’s (Beiqi New Energy’s) new EV200 model is equipped with Korean SK’s ternary lithium-ion battery. The EV200 is able to achieve a cruising range of over 200 km in combined mode and 260 km in economy mode. Compared to the battery of the old E150, battery size is the same and battery capacity has been significantly expanded by 20%. Gross vehicle weight of the E150 is 1,370 kg and that of the EV200 is 1,290 kg. By reducing the weight, cruising distance has improved.

  Chery’s eQ EV, which was launched in November 2014, is also equipped with a ternary lithium-ion battery (with a capacity of 72 Ah and voltage of 310.8 V). It takes 8 to 10 hours to fully charge the battery. The cruising range of the vehicle is over 200 km in combined mode. In the future, there is a possibility that all of the EVs that Chery introduces will be equipped with ternary lithium-ion batteries.

Guangqi Honda locally builds HVs in China in 2016

  In the development plan of new energy vehicles that Guangqi Honda Automobile Co., Ltd. (Guangqi Honda) announced, local production schedule for HVs was revealed. According to the plan, Guangqi Honda will introduce into the market the Everus EV in 2015 and a locally built HV in 2016. A Research and Development Center, which Guangqi Honda has invested CNY 2 billion into, is being built and will be completed by December 2014.

FAW Toyota’s Ranz E50 rolls off the production line

  On November 29, 2014, FAW Toyota Motor Sales Co., Ltd. announced that the E50, which is its first EV model of its own-brand “Ranz,” rolled off the production line. The roll off took place in Tianjin FAW Toyota’s Tianjin Economic-Technological Development Area plant. The selling price of the vehicle ranges from CNY 250,000 to 300,000. In 2012, FAW Toyota Research & Development Co., Ltd. developed a prototype of the Ranz E50 EV, which was based on the Corolla sedan. Small-scale production of the E50 has already been made possible and demonstration tests will start soon.

Shenzhen BYD Daimler launches Denza EV in Shenzhen

  On November 28, 2014, BYD’s and Daimler’s joint venture, Shenzhen BYD Daimler New Technology Co., Ltd, launched the Denza EV in Shenzhen City. The vehicle comes in two grades and the selling price ranges from CNY 369,000 to 399,000.

  Those who purchase the Denza in Shenzhen will be able to receive purchase subsidies from the Chinese central and Shenzhen municipal governments. The selling price starts at CNY 369,000; however, those who purchase the vehicle will be able to receive subsidies of CNY  57,000 from both the Chinese central and Shenzhen municipal governments. In addition, purchasers will be exempt from Shenzhen City’s vehicle acquisition taxes. Therefore, the actual price that purchasers will be paying will be CNY 252,000.

Beiqi New Energy’s EV200 rolls off the production line in Beijing

  On November 14, 2014, Beiqi New Energy’s new EV 200 rolled off the production line in itsplant in Caiyu, Daxing, Beijing. The EV200 is equipped with South Korean SK Group’s ternary lithium-ion battery. Cruising range of the vehicle in combined mode is over 200 km and cruising range is improved by 13% in economy mode. The EV200 is equipped with an air purifier that uses a particulate matter (PM) 2.5 air filter element. The air purifier can remove 80 to 90% of the PM 2.5 and air pollutants in the vehicle within five minutes and 95% and more of the pollutants in 20 minutes.

Energy-saving and new energy vehicle network
CATARC Beijing Operations

* China Automotive Technology & Research Center (CATARC) is affiliated to the State-owned Assets Supervision and Administration Commission of the State Council (SASAC). CATARC assists the government in such activities as auto standard and technical regulation formulating, product certification testing, quality system certification, industry planning, policy research, information service and common technology research. Beijing CATARC Automotive Technology Development Company is the Beijing office and a sole subsidiary of CATARC. The Beijing office researches on policies, technical regulations, and standards for promoting Chinese automotive industry.