Chinese Government officials have indicated that the country is set to consolidate its electric vehicle (EV) sector after the country delivered too many zero-emissions car makers.

Over the past decade China has heavily promote its domestic EV manufacturing sector and boosted incentives for car buyers as part of efforts to cut air pollution and avoid a repeat of January 2013, when the country spent 26 days shrouded by heavy smog.

But Bloomberg reported this week that the EV push has created so many OEMs producing zero-emission vehicles that some are barely viable.

At a press conference in Beijing yesterday (September 13) China’s minister for industry and information technology, Xiao Yaqing, said: “Looking forward, EV companies should grow bigger and stronger. We have too many EV firms on the market right now.

“The firms are mostly small and scattered. The role of the market should be fully utilized and we encourage merger and restructuring efforts in the EV sector to further increase market concentration.”

Login to continue reading

Or register with AM-online to keep up to date with the latest UK automotive retail industry news and insight.

Please enter your email
Looks good!
Please enter your Password
Looks good!