[Focus] The domestic auto market for new energy vehicles such as "Eight Immortals Crosses the Sea, Each Shows His Magic"

In recent years, more and more new energy vehicles have appeared on the streets, but for most of the traditional auto companies, fuel vehicles are still the main business.

In recent years, more and more new energy vehicles have appeared on the streets, but for most of the traditional auto companies, fuel vehicles are still the main business.

The currently publicized dual-integration approach manages passenger car fuel consumption limits in parallel with new energy vehicle integration, and significantly tilts new energy vehicles. For example, the negative balance of the average fuel consumption of passenger car companies can be compensated by a variety of methods, including the use of new energy vehicles for positive credit compensation. New energy car negative points can only be compensated by new energy positive credits.

This means that auto companies themselves must be able to produce and sell a sufficient amount of new energy vehicles, otherwise they can only purchase new energy vehicles from other companies and score points, or cut their own production of traditional fuel vehicles. This is equivalent to the fixed requirements for the production of new energy vehicles.

Recently, Zheng Lixin, spokesperson of the Ministry of Industry and Information Technology and Director of the Operation Monitoring and Coordination Bureau, stated at the launch of the National Office for Newcomers that the “Measures for the Concurrent Management of the Average Fuel Consumption of Passenger Vehicle Enterprises and New Energy Vehicle Integration” is also referred to as The double-integration approach will be officially released in the near future.

According to this method, the proportion of new energy vehicles in the three years of 2018-2020 is 8%, 10% and 12% respectively. New energy points cannot be carried forward in different years.

Strongly inclined new energy automobile policy

In 2009, China surpassed the United States as the world's largest automotive market. In 2016, China's automobile production and sales exceeded 28 million, ranking the first in the world for eight consecutive years. With the demands of market upgrading and environmental protection, the Chinese government is committed to promoting the popularization of new energy vehicles. Since 2009, it has successively issued a series of new energy vehicle development plans and support policies.

On April 25th, three ministries and commissions issued the "Mid-term and Long-term Development Plan for the Automotive Industry." The "Planning" pointed out that by 2020, the annual production and sales of new energy vehicles will reach 2 million, which will give clear instructions on the future development scale of China's new energy vehicles.

The “Circular on Adjusting the Financial Subsidy Policy for the Promotion and Application of New Energy Vehicles” issued in 2017 and the “Measures for the Parallel Management of the Average Fuel Consumption of New Passenger Vehicles and New Energy Vehicle Integration” (Draft for Solicitation of Comments) have been successively accepted. Policy.

Adjusting financial subsidies for new energy vehicles means that the government gradually withdraws subsidies for new energy vehicle companies. From 2017, subsidies for new energy vehicles will drop by 20%, and will no longer be subsidized after 2020, which will have an impact on the industry. . According to industry sources, sales of new energy vehicles have been affected to a certain extent by the beginning of this year due to factors such as subsidies for retreats.

Some analysts in the automotive industry pointed out that the dual-integration approach has made policy convergence for the new energy vehicle subsidies adjustment method. The double-integration approach has set a relatively high growth rate for new energy vehicles to a certain extent, which is good for new energy autonomous car brands. In the future, these companies can not only use their new energy vehicles to positively offset negative points in fuel consumption, but also can sell excess new energy vehicle points like other auto companies.

The relevant personage inside BYD stated that the subsidies for new energy vehicles are phased policies. From now on, they will be terminated in 2020. The double-credit policy establishes a long-term mechanism to allow fuel-efficient fuel vehicle companies to subsidize new energy by purchasing points. Automobile companies reduce the cost of new energy vehicles and accelerate the industrial scale.

Domestic car prices "inequality between the rich and the poor"

China Automobile Association data show that in June, new energy vehicles sold 59,000 vehicles, an increase of 33.0%. From January to June 2017, the cumulative sales of new energy vehicles in China reached 195,000, an increase of 14.4% over the same period of the previous year.

According to reports, at present, nine independent car companies such as FAW, SAIC, Chang'an, GAC, Chery, Geely, and Great Wall announced that their target for sales of new energy vehicles in 2020 is close to 4 million, which has clearly exceeded the previous medium and long-term development plans for the automotive industry. "China's new energy vehicle production in 2020 will reach 2 million vehicles.

However, under the bright prospect of development, domestic automobile brands also have the phenomenon of “inequality between the rich and the poor” in the field of new energy vehicles.

According to the Ministry of Industry and Information Technology, in 2016, BYD, Geely, and BAIC entered the world's top 10 sales of new energy automobile passenger vehicles, and domestically produced new energy buses have reached the world level in technology and have been sold to more than 30 countries and regions in the world. Of the domestic new energy vehicle brands, sales of BYD, Geely Automobile and Beijing Automotive New Energy rank among the top three.

The automobile brands represented by BYD and BAIC have made early efforts in the field of new energy, and they can easily face the upcoming implementation of the double-integration policy. However, many traditional car companies focusing on fuel vehicles face challenges.

At present, sales volume has been at the forefront of North-South Volkswagen and SAIC Motor, with an annual sales volume of about 2 million vehicles. Changan, Beijing Hyundai, Dongfeng Nissan and other car companies have also exceeded the annual sales of 1 million vehicles. However, except for Changan Automobile, other companies basically did not move in the new energy sector. It can be speculated that these car companies will become big buyers of new energy positive points in the future.

For example, Great Wall Motors dominates the high fuel consumption SUV market, and there is no new energy vehicle output as a support. Last year, 270,000 negative fuel consumption points became the largest negative integration car company in China. In the future, Great Wall Motors will suffer severe negative impact from the “double-integration” policy.

This Great Wall Motor announced that it will invest 30 billion yuan to expand the product lineup of new energy vehicles. In May 2017, Great Wall Motor’s first new energy vehicle, the Great Wall C30EV, went public and caught the last train.

Overseas car companies have laid out

As the world’s largest auto market, China’s newly announced dual-pointing policy not only affects domestic auto brands, but also affects the Chinese development strategy of international auto companies.

Wei Bingde, president and CEO of BMW Brilliance, recently said in an interview with the media that China has become the largest R&D base outside of Germany for BMW Group. BMW “has a clear R&D focus - new energy vehicles from the very beginning”.

At present, BMW has launched four or five new energy vehicles. The new BMW 5 Series plug-in hybrid has begun production and will be available soon.

Nissan’s joint venture company in China, Dongfeng Motor’s president, Guan Run, once revealed to the media that after 2018, Nissan’s “Nissan”, “Infiniti”, and “Kai Chen” brands will be used to deliver pure electric vehicles. Guan Run emphasized that Nissan will strive to enter the top three of China's pure electric vehicle market.

Honda also plans to accelerate its new energy vehicle strategy in China. In addition to advancing the launch of plug-in hybrid vehicles from 2020 to 2018, the introduction of fuel cell vehicles (FCVs) is also discussed. Toyota also made clear its policy of "placing electric vehicles in China within a few years."

Faced with the pressure of the double-integration approach, there are also foreign companies that meet the policy standards through a joint venture with top-ranked car companies in China.

For example, German Volkswagen chose to establish a joint venture with JAC, and the public can obtain new energy vehicle points in the field of new energy vehicles. At the same time, special emphasis was also placed on the joint venture agreement between the two parties. Volkswagen has the right of first refusal to purchase new energy vehicle points generated by the joint venture company.

Mercedes-Benz’s parent company Daimler Benz entered into a new energy-related investment agreement with BAIC that includes the participation in the new energy of BAIC and the introduction of new energy products into the joint venture, etc. to reduce the impact of the dual-integration approach on the sales of its fuel vehicles. .

As the 2018 deadline delineated by the Chinese government is approaching, all car companies like “Eight Immortals crossing the sea, each showing their own supernatural power”. Some car companies are taking the lead in new energy vehicles and taking advantage. It is still unknown whether the latecomers will succeed in beach-going and later come on.

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