China shifts automotive strategy to lighten controls on fuel-efficient hybrids

July 17, 2019

July 17, 2019

The Chinese government’s Ministry of Industry and Information Technology, which oversees automotive policy, is reported to have plans to amend its automotive strategy to lighten controls on fuel-efficient hybrid vehicles compared with gasoline or diesel vehicles, according to Nikkei Asian Review. Under current regulations, hybrid vehicles are grouped with conventional gasoline vehicles. If the amendment goes ahead, they would still be considered fossil-fuel-powered but reclassified as ‘low-fuel-consumption passenger vehicles.’ 

Automakers are currently required to produce 20,000 high-performance electric vehicles for every 1 million hybrids they produce, under a point-based quota system. Under the newly-proposed regulations, automakers would need to produce only 6,000 electric vehicles per million hybrids, while the requirement for gasoline vehicles would rise to 29,000 for every 1 million gasoline vehicles. 

The new development is expected to be especially beneficial for Japanese automakers Toyota Motor and Honda Motor, who together sold more than 2 million hybrids worldwide in 2018, accounting for the vast majority of the 2.29 million produced that year, according to IHS Markit. Hybrid sales are said to have accounted for just over 10% of the nearly 1.49 million vehicles sold in China by Toyota in 2018; the automaker now aims to boost this to above 30% by 2020. 

The proposed amendments to the regulations also includes measures to promote hydrogen fuel cell vehicles. Toyota has recently been partnering with a number of Chinese companies, including Beijing Automotive Group, in the development of such vehicles. 

Further, the proposed amendments would allow automakers that beat the quota in one year carry over points to the following year under certain conditions. The government plans to continue increasing the quota, which will rise to 12% in 2020 and by two percentage points each year between 2021 and 2023.

July 17, 2019

In the latest issue of PM Review…

Download PDF

Extensive Powder Metallurgy industry news coverage, and the following exclusive deep-dive articles and reports:

  • From powder modification to rejuvenation: Fluidised Bed Reactors in metal powder production and Additive Manufacturing
  • Retech: Enabling the atomisation of reactive and refractory alloys at substantially higher levels of productivity and lower cost
  • Sustainability in Powder Metallurgy: Highlights from the 41st Hagen Symposium
  • Innovations from Japan’s Powder Metallurgy industry: award winners highlight novel automotive and healthcare applications

The latest news from the world of metal powders, delivered to your inbox

Don't miss any new issue of PM Review, and get the latest industry news. Sign up to our weekly newsletter.

Sign up

Join our community

Discover our magazine archive…

The free-to-access PM Review magazine archive offers unparalleled insight into the world of Powder Metallurgy from a commercial and technological perspective through:

  • Reports on visits to leading PM part manufacturers, metal powder manufacturers and industry suppliers
  • Articles on technology and application trends
  • Information on materials developments
  • Reviews of key technical presentations from the international conference circuit
  • International industry news

All past issues are available to download as free PDFs or view in your browser.


Browse the archive


Looking for PM production equipment, metal powders, R&D support and more?

Discover suppliers of these and more in our
advertisers’ index and buyer’s guide, available in the back of PM Review magazine.

  • Powders & materials
  • Powder process, classification & analysis
  • PM products
  • Atomisers & powder production technology
  • Compaction presses, tooling & ancillaries
  • Sintering equipment & ancillaries
  • Post-processing
  • Consulting & toll sintering
View online
Share via
Copy link