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2018: A Tough Year For China Autos

2018 is shaping up to be a tough year for the automobile industry in China.

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China Shifts Subsidies for Electric Vehicles

China is the clear global leader in the production and sales of electric vehicles (“EVs”). Last year, 770,000 EVs were manufactured and sold in the country, a 53 percent increase over 2016 and almost four times the number sold in the United States. With EVs still at a cost disadvantage to vehicles made with traditional […]

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BYD Bears The Brunt of China’s New EV Playbook

Fueled by large consumer and manufacturer subsidies, China has emerged as the global leader in electric vehicles (EVs) by a wide margin. Recognizing the importance of reducing air pollution in its densely populated cities, China began heavily subsidizing the manufacture of electric buses in 2010. At the same time, the Chinese government has been offering […]

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China’s Auto Brands Are Coming To America

If successful, GAC Motor would be the first Chinese automaker to penetrate the U.S. market, following in the footsteps of German, Japanese, and Korean carmakers that have made the jump from their home markets to the world’s most demanding auto market over the past 70 years.

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Automakers Respond To China’s Changing EV Rules

Last September, China announced that automakers selling more than 30,000 vehicles annually in the country would be required to produce fleets with a corporate average fuel economy of 42 miles per gallon (“mpg”) by 2020, and 54.5 mpg by 2025. The combination of credits and disincentives in the new regulations are designed to improve the fuel […]

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China Autos: 2017 In Review

After nearly 15 years of remarkable growth, China’s auto industry began to transition in 2017 from its high growth phase to a maturity phase of development where growth is likely to be steady but much slower in percentage terms. From 2002 to 2016, annual sales of trucks, buses and passenger cars in China grew at […]

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2017 Predictions: How Did We Do?

Given the importance of the Sino-American relationship, three of the predictions by Managing The Dragon (MTD) for 2017 dealt directly or indirectly with the relationship between the two countries, and two dealt with issues specific to China. In general, MTD did well on the former, and not as well on the latter.

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Where Have All The Start-Ups Gone?

When Google announced in May 2014 that it planned to build driverless cars, two of the largest industries in the world — the internet and the auto — began to converge. Even when Apple, the other American internet giant, followed with its own plans to build cars, the reaction was somewhat measured in the U.S. […]

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Vehicle Sales in China: First Nine Months of 2017

For the first nine months of 2017, total sales of trucks, buses, and passenger cars in China were up 4.5 percent to 20.2 million units, close to the 5 percent increase that most auto analysts are predicting for the full year. China is on track to be the world’s largest car market for the eighth consecutive year.

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China’s New EV Rules

The United Kingdom and France have announced that sales of gasoline and diesel vehicles will no longer be allowed in their countries by 2040, and the Indian government has indicated its intention to only allow electric vehicles (“EVs”) to be sold in India by 2030. However, China raised the bar yet again for automakers when […]

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