China’s NEV sales to account for 50% of new car sales by 2035: industry body

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FILE PHOTO: Zang Yi charges her Tesla car at a charging point in Beijing, China, April 13, 2018. REUTERS/Thomas Peter

October 27, 2020

SHANGHAI (Reuters) – Sales of new energy vehicles (NEV) in China, the world’s biggest auto market, will jump to 50% of overall new car sales by 2035 from just 5% at present, the China Society of Automotive Engineers (China-SAE) said on Tuesday.

A technology roadmap by the association predicts 95% of NEV sales in 2035 will be battery electric vehicles, while hybrid vehicles will make up the rest, China-SAE president Li Jun, told the association’s annual conference in Shanghai.

The influential industry body, whose members include senior auto executives and academics, is involved in setting the country’s mid- to long-term electric vehicle policies. The roadmap is not government policy, but is a key reference for policy makers, companies and investors.

Li also said carbon dioxide emissions from China’s auto industry were expected to peak around 2028, and drop to 20% of peak levels by 2035.

Chinese President Xi Jinping in September announced plans to boost China’s Paris climate accord target, saying that China would achieve a peak in carbon dioxide emissions before 2030 and carbon neutrality before 2060.

NEVs include battery electric, plug-in hybrid and hydrogen fuel-cell vehicles. Industry expects China to sell around 1.1 million NEVs this year.

(Reporting by Yilei Sun and Brenda Goh; Editing by Richard Pullin)