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China move to ban fossil-fuel vehicles

CHINA

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China is the next country planning a deadline to end sales of fossil-fuelled vehicles.

It will be the biggest market to do so in a move that will accelerate the push into the electric car market led by companies including BYD and BAIC Motor Corp, Bloomberg reports.

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The government is working with other regulators on a timetable to end production and sales of fossil-fuelled vehicles, industry and information technology vice minister Xin Guobin says. It will have a profound impact on the environment and growth of China’s auto industry, Xin told an auto forum in Tianjin on Saturday.

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China has promised to cap carbon emissions by 2030 and reduce air pollution.

It joins countries like the United Kingdom and France in aiming to phase out petrol and diesel vehicles.

China’s move is expected to encourage local and global automakers to concentrate on introducing more zero-emission EVs to help clean up major cities.

“The implementation of the ban for such a big market like China can be later than 2040,” Chery Automobile assistant general manager Liu Zhijia says. It unveiled a new line for battery and plug-in hybrid models at the Frankfurt auto show last week. “That will leave plenty of time for everyone to prepare.”

China has generous subsidies and has policies aimed at cutting oil imports. The government also has plans to require automakers to earn enough credits or buy them from competitors with a surplus under a new cap-and-trade project for fuel economy and emissions.

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