New energy vehicle sales in China disappoint automakers

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What a surprise. Auromakes are ‘dissapointed’ by their sales of hybrids and EV’s. Customers blame the lack of an infrastructure for charging as the most important reason not to buy an EV. Not a surprise, there is simply no infrastructure for EV’s in China. For hybrids the reason not to buy is the high price, government subsidies did not help.

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BYD only sold 54 of its E6 EV and only 290 F3DM hybrids from January to October. Eat that, Warren Buffet! Chang’an Auto decided to stop production of the Jiexun HEV after only one year because they “didn’t sell any”. More misery in the article from Global Times (state owned magazine) below:

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“The development of new energy vehicles in China has been highly anticipated, but automakers are disappointed with the sales figures of green cars, after having spent millions of dollars in this field.

Due to its poor sales volume, Changan Auto said that its hybrid vehicle Jiexun HEV has gone out of production for one year. “The company didn’t sell any”, a senior executive was quoted as saying about the Jiexun HEV, according to a report in the China Business News on Monday.

In addition, BYD said that it has only sold 54 electric vehicles E6 and 290 F3DM hybrids between January and October. And the sales volume of Toyota’s Prius in China has been below 4,000 units for the past three years.

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The Chinese government has released subsidies to boost sales of green cars, but that did not help much. And research company Dratio said that 89 percent of consumers are not interested in purchasing new energy vehicles due to their high price and the lack of supporting facilities.

A sales manager of a 4S store of Dongfeng Honda said that consumers are not buying new energy vehicles because they don’t trust the new technology and they don’t want to pay extra in order to save petrol.

The senior executive at Changan also said that though the subsidies for electric vehicles are as high as 60,000 yuan ($9,024), the subsidies for hybrid cars are only 3,000 yuan – and this has led to the plummeting sales of hybrid vehicles.

One BYD employee said that the government has not offered enough support in this matter.”

Via: GlobalTimes.

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  1. BYD will never succeed unless they start designing cars, instead of stealing them. (would buy that e6 if girl came with it)

  2. Fear of the unknown is what it is. People are uninformed and confused about new energy vehicles. They are too conservative to enter unchartered territory. So the government will have to lead the way and set the example. For its official fleets China made a policy change to replace foreign venture-made cars with domestically-made ones, and now it needs to make another change, this time from fossil fuel cars to the new energy ones. Top party members and big city administrators seen grappling with the early problems of the new energy cars they drive, and are driven in, will go a long way in convincing the masses that China is serious about making the transition to greener transportation.
    This good faith effort of the government needs to made even before the coming spiral upward of oil costs.


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