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

Production of new energy passenger vehicles in July drops from June records

2015/09/10

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.


  Production volume of electrified vehicles in July 2015 in China decreased by 11.7% month-over-month (m/m) and by 3.5-fold year-over-year (y/y) to 24,628 units (976 electric vehicles [EVs] equipped with lead-acid batteries were included). Production volume of electrified vehicles declined m/m because production volume of new energy (EVs and plug-in hybrids [PHVs]) passenger vehicles declined. Production volume of passenger EVs declined by 28.3% m/m and that of passenger PHVs declined by 14.6% m/m. Due to the production volume decline of new energy passenger vehicles, production share of passenger cars in July dropped by 8 percentage points m/m to 62%.


Fig. 1 Production volume of electrified vehicles (Feb. to Jul. 2015)



Production volumes in China

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

Type Jul.
2014
Feb.
2015
Mar.
2015
Apr.
2015
May
2015
Jun.
2015
Jul.
2015
y/y (%) m/m (%)
Plug-in hybrid passenger cars 1,021 1,661 3,315 1,523 4,932 6,674 5,700 458.3 -14.6
Plug-in hybrid buses 659 694 802 956 1,512 1,656 1,660 151.9 0.2
Electric passenger cars 4,035 2,207 7,828 5,437 10,992 12,272 8,797 118.0 -28.3
Electric buses 250 659 1,981 1,457 2,369 5,543 6,371 2448.4 14.9
Special-purpose electric vehicles 182 156 457 480 689 1,165 1,373 654.4 17.9
Hybrid passenger cars 815 525 34 555 520 584 698 -14.4 19.5
Hybrid buses 0 1 0 0 18 0 29 - -
Fuel cell passenger cars 0 0 0 10 0 0 0 - -
Total 6,962 5,903 14,417 10,418 21,032 27,894 24,628 253.7 -11.7


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

 
HV
PHV
EV
Total
Passenger car
698
5,700
8,797
15,195
Bus
29
1,660
6,371
8,060
Special-purpose vehicle
0
0
1,373
1,373
Total
727
7,360
16,541
24,628



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

Plug-in hybrid vehicle (PHV)

  Production volume of PHVs in July 2015 was 7,360 units. Of the 7,360 units, 5,700 units were passenger PHVs, which accounted for 77.4% of the total PHV production share. Five automakers produced passenger PHVs in July. These automakers were BYD, Shanghai Automotive Industry Corporation (SAIC), Guangzhou Automobile Group, Brilliance BMW, and Zhejiang Haoqing Automobile. Production volume of the BYD Qin in July was 4,800 units. Production volume of the Brilliance BMW 530Le PHV and the Zhejiang Haoqing Automobile Volvo S60L PHV, which were launched in 2015, in July was over 150 units each.

  Production volume of plug-in hybrid buses was 1,660 units, which accounted for 22.6% of the total PHV production share. Of the 13 bus makers that produced plug-in hybrid buses in July, the top five were Zhengzhou Yutong, Zhongtong Bus, Suzhou King Long Bus, Xiamen Golden Dragon Bus, and Xiamen King Long. The production volume of plug-in hybrid buses equipped with lithium manganese batteries has increased for the past few months. Production volume of plug-in hybrid buses in July was over 500 units.

Electric vehicle (EV)

  Production volume of EVs in July 2015 was 16,541 units (666 passenger EVs and 310 special-purpose EVs, both equipped with lead-acid batteries, were included). Production volume of passenger EVs was 8,797 units, which dropped below 10,000 units for the first time in three months. 20 automakers produced passenger EVs in July. The number of automakers increased by five compared to the previous month. The top five automakers (vehicles equipped with lead-acid batteries were excluded) were BYD, Zhejiang Geely, China Anhui Jianghuai Automobile (JAC), Beijing Automotive Industry Holding Co., Ltd. (BAIC), and Hunan Jiangnan Automobile. Automakers in the top five have not changed from the previous month. Looking by cruising range, production volume of passenger EV models with a cruising range of 100 to 150 km was the largest, which accounted for 33.2% of the passenger EV production share.

  Production volume of electric buses was 6,371 units. 34 bus makers produced electric buses in July. The top five were Zhengzhou Yutong, Zhongtong Bus, Dongfeng, Nanjing King Long Bus, and Xiamen King Long. Production volume of Zhengzhou Yutong buses in July was over 2,500 units, which marked a record high for monthly production volume.

  Production volume of special purpose EVs increased by 17.9% m/m to 1,373 units, which has increased for five consecutive months. 27 vehicle makers produced special purpose EVs in July. The number of vehicles and the number of vehicle makers have increased; however, production volume per vehicle maker has not reached 300 units. The top three vehicle makers in July were Hebei Yogomo Motors, Fujian New Longma Motor, and Chengdu Wangpai Commercial Vehicle.

Electrified vehicle import

  All of the 2,395 electrified vehicles that were imported in July 2015 were passenger cars. The number of electrified vehicles that were imported increased by 24.4% m/m. Most of the electrified vehicles were passenger hybrid vehicles (HVs), which accounted for 89.6% of the total import share. The number of imported passenger EVs was 206 units and most of them were Tesla Motors vehicles.



Trends in China

Beijing City: government announces it would “provide aid to those who purchase electric buses”

  On July 13, 2015, the Beijing Municipal Bureau of Finance and the Beijing Municipal Commission of Science and Technology announced that the Beijing municipal government would “provide aid to those who purchase electric buses.” The municipal government will pay the same amount of subsidy paid by the central government. Details are as follows. In 2015, those who purchase electric buses with a length of six to 10 meters will be paid CNY 300,000 to 500,000. In 2016, depending on the load capacity, length, and cruising range of the bus, the government will pay CNY 240,000 to 500,000. In 2017, the government will pay an amount that is 20% less than the amount paid in 2016. Electric buses that are purchased by government agencies are not subject to the subsidy. The central and Beijing municipal governments will pay subsidies up to a total of 60% of the sales price of the vehicle.

  Subsidies from the Beijing municipal government are paid directly to the vehicle makers. They are then deducted from the vehicle sales price when consumers purchase the vehicles. If the vehicle makers are not registered in Beijing City, they can receive subsidies through vehicle sales companies that are registered in the city.

Beijing City, Tianjin City, and Hebei Province: governments plan to jointly construct charging facilities within 50 km

  On July 30, 2015, the Development and Reform Commissions of Beijing City, Tianjin City, and Hebei Province signed a “joint construction plan for charging facilities of new energy passenger vehicles in Beijing City, Tianjin City, and Hebei Province." More than 10,000 charging stands have been installed in Beijing City, Tianjin City, and Hebei Province. By building a public charging service network by 2020, they will promote the prevalence of new energy vehicles and reduction of air pollution.

Lanzhou City: government introduces “implementation plan for prevalence of new energy vehicles (EVs) in Lanzhou City”

  On July 16, 2015, the Lanzhou Municipal Government Standing Committee passed a resolution to initiate the “implementation plan for the prevalence of new energy vehicles (EVs) in Lanzhou City.” According to the plan, 3,500 new energy taxis will prevail within two to three years. In addition, 200 new energy buses will be launched in the city by 2016. At the same time, the government will proceed with the construction of charging infrastructures and multi-story parking lots.

Dongguan City: government introduces “acceleration policy on prevalence of new energy vehicles”

  On July 7, 2015, the Dongguan municipal government introduced the “acceleration policy on the prevalence of new energy vehicles.” It is stated in the policy that by building charging facilities, it will promote the prevalence of new energy vehicles and the purchase and use of these vehicles to businesses and individuals. In addition, the criteria for the payment of subsidies by the Dongguan municipal government, which are subject to those who purchase new energy vehicles for the first time, are referred in the policy. According to the policy, if an individual purchases and registers a new energy vehicle (subject to the subsidy provided by the central government) in Dongguan City during the new energy vehicle prevalence and promotion period, the municipal government will pay the same amount of subsidy provided by the central government. At least 30% of the public transportation vehicles, government-use vehicles, and logistics vehicles that are either additionally purchased or replaced by the end of 2015 will be comprised of new energy vehicles.

  The Dongguan municipal government has established companies associated with new energy vehicles. It is providing auto loan financing services to individuals and car rental services. The municipal government will pay a subsidy of 80% of the amount paid by the central government to those who purchase new energy vehicles for business purposes during the new energy vehicle prevalence and promotion period. Companies that start providing car rental services in 2015 will receive CNY 1,000 per vehicle on a monthly basis for one year.

  The construction of charging and battery exchange facilities is also referred in the policy. Charging facilities must be installed on parking spaces of large buildings and on public parking spaces; therefore, some space needs be set aside for the facilities. The amount of space required is at least 10% of the entire parking space. Charging facilities are also required to be installed on parking spaces of residences that are to be constructed. Thus, the aforementioned condition also applies to residences. Charging and battery exchange facilities must be installed on parking spaces of government institutions, hospitals, schools and parks, and at 4S (sale, spare part, service, and survey) car shops and gasoline stands that meet the requirement.

Zhejiang Jinhua City: government introduces “subsidy system for new energy vehicles”

  On July 17, 2015, the Jinhua municipal government introduced its third “subsidy system for new energy vehicles.” As the province-appointed model city for the prevalence and promotion of new energy vehicles, the municipal government implemented a subsidy system in 2011 and 2013. After Jinhua City became the country-appointed model city in 2013, citizens of Jinhua City have been able to receive subsidies from the municipal government in addition to subsidies from the central government upon the purchase of new energy vehicles.

TELD and UCAR conclude alliance associated with new energy vehicles; companies to provide car-leasing services and operate charging facilities

  On August 1, 2015, Qingdao TELD New Energy and UCAR concluded a strategic alliance associated with new energy vehicles. They will provide car-leasing services and operate charging facilities. UCAR will establish car-leasing businesses at TELD sites and TELD will provide 100 BAIC E160 EVs. TELD will construct 12 charging stations and install 200 charging stands in Hainan Province.

Hawtai and Lishen Battery Joint-Stock conclude alliance

  On July 24, 2015, Tianjin Lishen Battery Joint-Stock and Rongcheng HawTai Automobile Co., Ltd. concluded a strategic alliance. Lishen Battery Joint-Stock will supply secondary batteries for the Hawtai Lusheng E70 EVs and Hawtai New Santa Fe EVs.

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.