CATARC report - July 2015: New Energy Vehicle trends in China

EVs and PHVs drive record high electrified vehicle production in June 2015

2015/08/05

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 (Jan. to Jun. 2015)

  Production volume of electrified vehicles in June 2015 in China increased by 32.6% month-over-month (m/m) and by 3. 8-fold year-over-year (y/y) to 27,894 units (654 electric vehicles [EVs] equipped with lead-acid batteries were included). Production volume for the month marked a record high. Looking at the production share by vehicle type, production share of passenger cars declined by 8 percentage points m/m to 70% and production share of EVs increased by 2 percentage points m/m to 68%. Production share of hybrid vehicles (HVs) in June declined for two consecutive months to 2%. Production volume of "new energy passenger cars" (EVs and plug-in hybrids [PHVs] only; (HVs and EVs equipped with lead-acid batteries were excluded) was 18,450 units, which accounted for 1.16% of total production share of passenger cars in June in China. Production share of passenger PHVs on a y/y basis and that of special-purpose EVs on a m/m basis marked a record high.



Production volumes in China

Table 1 Production volume of electrified vehicles by vehicle type in Jun. 2014 / Jan. to Jun. 2015

Type Jun.
2014
Jan.
2015
Feb.
2015
Mar.
2015
Apr.
2015
May
2015
Jun.
2015
y/y (%) m/m (%)
Plug-in hybrid passenger cars 853 2,281 1,661 3,315 1,523 4,932 6,674 682.4 35.3
Plug-in hybrid buses 664 871 694 802 956 1,512 1,656 149.4 9.5
Electric passenger cars 3,777 2,797 2,207 7,828 5,437 10,992 12,272 224.9 11.6
Electric buses 1,005 1,154 659 1,981 1,457 2,369 5,543 451.5 134.0
Special-purpose electric vehicles 185 273 156 457 480 689 1,165 529.7 69.1
Hybrid passenger cars 815 800 525 34 555 520 584 -28.3 12.3
Hybrid buses 0 1 1 0 0 18 0 - -100
Fuel cell passenger cars 0 0 0 0 10 0 0 - -
Total 7,299 8,177 5,903 14,417 10,418 21,032 27,894 282.2 32.6


Table 2 Production volume of electrified vehicles by vehicle type in Jun. 2015

 
HV
PHV
EV
Total
Passenger car
584
6,674
12,272
19,530
Bus
0
1,656
5,543
7,199
Special-purpose vehicle
0
0
1,165
1,165
Total
584
8,330
18,980
27,894



Fig. 2 Electrified vehicle production shares by vehicle type (Jun. 2015)

Plug-in hybrid vehicle (PHV)

  Production volume of PHVs in June 2015 was 8,330 units. Of the 8,330 units, 6,674 units were passenger PHVs, which accounted for 80.1% of the total PHV production share. Of the five automakers that produced passenger PHVs in June, BYD has been increasing the production of the Qin passenger PHV. Production volume of the Qin increased by 20% m/m. Production volume of the BYD e6 passenger EV did not reach 1,000 units and BYD does not have any plans to launch a new EV. This indicates that BYD has been focusing on PHVs for its production of new energy passenger vehicles. Shanghai Automotive Industry Corporation significantly increased the production volume of the Roewe 550 PHV, which exceeded 1,600 units. Production volume of Geely Group’s Volvo PHV placed third for two consecutive months.

  Production volume of plug-in hybrid buses was 1,656 units, which accounted for 19.9% of the total PHV production share. Of the 15 bus makers that produced plug-in hybrid buses in June, the top five were Suzhou King Long Bus, Anhui Ankai, Zhengzhou Yutong, Beiqi Foton, and Xiamen Golden Dragon Bus. Beiqi Foton was ranked in the top five for the first time for production volume of plug-in hybrid buses. 61% of the plug-in hybrid buses that was produced in June used natural gases for fuel.

Electric vehicle (EV)

  Production volume of EVs in June 2015 was 18,980 units (496 passenger EVs and 100 special-purpose EVs, both equipped with lead-acid batteries, were included). Production volume of passenger EVs was 12,272 units, which marked a record high for two consecutive months. 15 automakers produced passenger EVs in June. The top five were Geely, Beijing Automotive Industry Holding Co., Ltd., Hunan Jiangnan Automobile, China Anhui Jianghuai Automobile (JAC), and BYD (vehicles equipped with lead-acid batteries were excluded).

  Production volume of electric buses was 5,543 units, which was more than double the production volume of the previous month. The number of bus makers increased by five from the previous month to 33. The top five were Zhengzhou Yutong, Zhongtong Bus, Suzhou King Long Bus, Jiangsu Joy Long, and Nanjing King Long Bus. Their total production volume accounted for 67.8% of the electric bus production share. Of the top five, total production volume of the bus makers that placed first and second was approximately 1,000 units and total production volume of bus makers that placed third to fifth was approximately 500 units.

  Production volume of special-purpose EVs increased by 69.1% m/m to 1,165 units. The number of vehicle makers increased from the previous month to 26. Suzhou King Long Bus, Nanjing King Long Bus, Xiamen Golden Dragon Bus, etc. started producing special-purpose EVs in June. The top three were Wuhu Baoqi Automobile Manufacturing Co., Ltd., Chongqing Ruichi Automobile, and Suzhou King Long Bus (vehicles equipped with lead-acid batteries were excluded).

Electrified vehicle import

  All of the 1,925 electrified vehicles that were imported in June 2015 were passenger cars. Most of the electrified vehicles that were imported were HVs. 1,685 HVs were imported, which accounted for 87.5% of the total import share. The number of imported passenger EVs slightly increased from the previous month to 221 units (38 range extenders were included). The number of imported PHVs was 19 units.



Trends in China

CAFE for 2014 was 7.22 L/100 km, which slightly improved for both locally built cars and imported cars

  On June 23, 2015, the Ministry of Industry and Information Technology released the ”2014 statistics on corporate average fuel economy (CAFE)of passenger cars in China.” According to the statistics, 116 companies in China produced or imported a total of 20.3 million passenger cars (new energy passenger cars and exported passenger cars were excluded; ditto hereinafter) for 2014. Average weight of the vehicles was 1,371kg. CAFE of the vehicles was 7.22 L/100 km. The breakdown of the 116 companies is as follows: 88 Chinese automakers produced a total of 19 million passenger cars with an average vehicle weight of 1,340 kg and CAFE of 7.12 L/100 km. 28 import car dealers imported 1.29 million passenger cars with an average vehicle weight of 1,828 kg and CAFE of 8.76 L/100 km.

  Of the 88 automakers, passenger cars of 61 automakers met the fuel efficiency standard. Production volume of these vehicles was 18.06 million units, which accounted for 94.97% of the total production share. Passenger cars of 27 automakers did not meet the standard. Production volume of these vehicles was 956,466 units. Of the 28 import car dealers, passenger cars of 17 dealers met the fuel efficiency standard. The number of import vehicles that met the standard was 1.07 million units, which accounted for 83.26% of the total import share. Passenger cars of 11 import car dealers did not meet the standard. The number of import vehicles that did not meet the standard was 215,965 units.

  CAFE of locally manufactured passenger cars for 2014 was 7.12 L/ 100 km. Compared to the CAFE of 7.33 L for 2013, it has improved by 0.21 L. CAFE of imported passenger cars for 2014 was 8.76 L/100 km. Compared to the CAFE of 9.06 L for 2013, it has improved by 0.3 L. Average vehicle weight of passenger cars for 2014 was 1,371 kg. Compared to the average vehicle weight of 1,355 kg for 2013, it has increased by 16 kg. The central government has set its fuel efficiency target for 2015 to 6.9 L/100 km. Due to the increase in vehicle weight, the government might have difficulty in meeting the target.

Beijing City: SINOPEC Beijing Oil Products Company and BJEV tie up to expand battery charging facilities

  On July 3, 2015, SINOPEC Beijing Oil Products Company and Beijing Electric Vehicle Co., Ltd (BJEV) concluded a strategic alliance. SINOPEC Beijing Oil Products Company owns more than 580 gas stations on major highways in Beijing City. More than 300,000 vehicles per day are fueled at these gas stations. The two companies are planning to install charging facilities for general EV users and battery replacement facilities for electric taxis at these gas stations that are owned by SINOPEC Beijing Oil Products Company.

Shanghai City: charging rate for charging facilities to be CNY 1.6 per 1 kWh

  The Shanghai municipal government has officially implemented the “interim management provisions on the construction of electrified vehicle charging facilities in Shanghai City” from July 1, 2015. According to the provisions, if new residential areas and parking spaces are to be constructed, some space to install charging facilities must be made available. The amount of space required is at least 10% of the entire parking space. Charging rate will be CNY 1.6 per 1 kWh for the interim. Charging facilities will be exempt from basic electricity charges until 2020. The Shanghai municipal government will pay subsidies for charging facilities that meet the conditions stipulated. Payment will be made based on the “interim provisions on the development of battery charging/replacement facilities for electrified vehicles in Shanghai City” that was implemented in 2013. For the installation of charging facilities, the government will pay subsidies up to 30% of the installation cost. At the same time, the government will support with the acquisition of a site for the charging facility.

Liaoning Province: 20,000 new energy vehicles will prevail by 2020

  On July 1, 2015, the Liaoning provincial government introduced the “new energy vehicle prevalence plan.” According to the plan, the Liaoning provisional government has set a prevalence target of more than 10,000 new energy vehicles in urban areas. In addition, more than 30% of public service vehicles, such as logistics trucks, city buses, garbage trucks, and government-use vehicles, will be new energy vehicles. By adopting new energy vehicles for public service vehicles, more than 20,000 new energy vehicles will prevail in the province by 2020. At the same time, the government will promote the establishment of development plans for charging facilities, the development of operation and management systems for charging facilities, and the construction of charging facilities.

Guangxi Zhuang Autonomous Region: government provides subsidy of CNY 500,000

  On June 17, 2015, the Guangxi Zhuang autonomous regional government introduced the “new energy vehicle prevalence plan.” According to the plan, the government will promote the use of new energy vehicles for city buses, taxis, government-use vehicles, and mail trucks. More than 30% of the vehicles that are either purchased or replaced by government agencies and public institutions of autonomous regions or cities in 2015 will be new energy vehicles. The number of new energy vehicles will be 500 units, consisting of 200 passenger EVs, 150 passenger PHVs, 50 electric buses, 50 plug-in hybrid buses, and 50 special-purpose EVs. In addition, the government will pay a subsidy of CNY 500,000 for each model that new energy vehicle makers in Guangxi Zhuang Autonomous Region develop and register in the “recommended model list for energy-efficient/new energy vehicles” that is being issued by the central government.

Anhui Province: government introduces new policy for preferential site acquisition for charging facilities

  On June 25, 2015, the National Land Agency of Anhui Province announced that it has requested the government of each prefecture and city to include charging facility sites in their annual plan for construction sites and to accommodate the construction and expansion of charging facilities. Installation of charging facilities for newly built parking spaces of buildings and public parking spaces will need to be specified in their plans. Charging facility sites will also need to be procured.

Hubei Province: government exempts basic electricity charges for electrified vehicles until 2020

  On June 9, 2015, the Hubei Province Price Bureau distributed a notice on electricity rates for electrified vehicles that was announced by the National Development Planning Commission. According to the notice, charging facilities that directly purchase electricity from power companies for commercial purposes will be exempt from basic electricity charges until 2020. In addition, industrial electricity rates and time-based rates will be set.

Nanchang City: government releases “notification on purchases of new energy vehicles for logistics companies”

  On June 2, 2015, the Nanchang municipal government released the “notification on purchases of new energy vehicles for logistics companies.” According to the notification, logistics companies will own a total of 80 new energy vehicles during 2014 to 2015. For special-purpose EVs, the government has set a subsidy payment based on the capacity of the drive battery, which is CNY 1,400 per 1 kWh (lead-acid batteries are excluded).

Eado EV rolls off production line at Changan PSA’s Shenzhen plant

  On July 9, 2015, Changan Automobile’s first Eado EV rolled off the production line at Changan PSA Automobiles Co., Ltd.’s Shenzhen plant. The Eado EV is available in two versions-“premium version” and “elite version.” Prices before subsidies are CNY 234,900 for the premium version and CNY 249,900 for the elite version. A motor with a maximum output of 122 hp and a maximum torque of 280 Nm is equipped in the vehicle. Maximum speed of the vehicle is 150 km/h and cruising range of the vehicle is 200 km.

Changan Automobile to launch new EV with cruising range of 250 km in 2016

  In July, Chongqing Changan New Energy Automobile Co., Ltd. announced that it will launch a new EV with a cruising range of 250 km in early 2016. As of July 2015, the Eado EV is the only EV that the automaker sells. Chongqing Changan New Energy Automobile will increase its cumulative sales of new energy vehicles to 400,000 units by 2020 based on its “518 strategy.” The automaker will invest CNY 18 billion in the launch of 34 new energy vehicle models, increase its cumulative sales to over 2 million units, and increase its new energy sales ratio to 10% of overall sales by 2025.

Zhidou D2 EV is released; selling price after subsidy is CNY 49,800

  On June 23, 2015, the Zhidou D2 EV, an EV brand that Geely Automobile and China Xindayang Group equally shares, was released. The selling price of the vehicle is CNY 158,800. The selling price after subsidy is CNY 49,800. The Zhidou D2 EV is equipped with a ternary lithium-ion battery. Capacity of the battery has increased from 11.52 kWh (D1) to 15.12 kWh (D2). Cruising range of the vehicle when traveling at 45 km/h has increased from 160 km (D1) to 210 km (D2). Maximum speed of the vehicle is 80 km/h.

BJEV cooperates with companies in three business areas

  On June 5, 2015, Beijing Electric Vehicle Co., Ltd (BJEV) introduced the “Blue A plan.” According to the plan, BJEV will cooperate with companies in three business areas-car sharing, charging facility, and logistics EVs-to promote a new environment for new energy vehicles.

  In the car sharing business, BJEV will work with China Automobile Trading Co., Ltd., Baojia Car Rental, Beijing Yidu Yongche Information Technology, and Jianyuan Financing Lease Co. to raise awareness of car sharing for new energy vehicles and gain revenues in a short period of time.

  In the charging facility business, BJEV will work with Gemdale Corporation, Lanjing Lija (furniture store), and Beijing Parking Industry Association to promote the construction of charging facilities.

  In the logistics EV business, BJEV will work with Pang Da Automobile Trade, Beijing Yidu Yongche Information Technology, D1ev.com, and Beijing Express Association to establish a car-sharing system where commercial EVs are used in logistics.

New plant starts production of new Saab EV in 2017

  On June 28, 2015, Guoneng New Energy Co., Ltd. started construction of a plant in Tianjin City. The automaker will produce EVs and range extender EVs that are based on the Saab 9-3 platform at the plant. Construction of the new plant will be completed in 2016. Operations of the plant will start in 2017. The EV will not be a traditional luxury car, but instead, it will be a midsize car for the middle class.

  Guoneng New Energy is a joint venture (JV) that was established by three companies-National Electric Vehicle Sweden (NEVS) (acquired Saab in 2012), Beijing State Research Information Technology Co., Ltd. (SRIT), and Beijing Teamsun Technology Co., Ltd. (the company’s subsidiary has invested in the JV). The JV has been capitalized at CNY 2.4 billion. The three companies have invested a total of CNY 3 billion into the JV.

Reference:
Energy-saving and new energy vehicle network www.chinaev.org
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.