New Deal to form national team as new energ

　　According to Shanghai Securities News, a war on new energy vehicles is secretly going on worldwide. The old forces represented by the United States and new ones represented by China have all increased policy support. Chinese authorities are brewing a series of new energy vehicles supportive policies, which will tend to support state-owned Automotive Groups lie in a leading position in the industry to address the worldwide competitiveness of new energy vehicles.

　　At the same time, across the Atlantic, the United States is also increasing its supportive policies.

　　New Deal to form national team

　　News from various automobile companies indicated that they had received the draft of planning on energy saving and new energy vehicle development (short for the “Planning”). After views of relevant parties is handed over and then revised by the competent departments, the program will be officially submitted to the Sate Council in July. If passed, the Planning will be then carried out formally. By then, the development of China’s new energy vehicle industry will truly enter an ordered era.

　　It is understood, the Planning aims at guiding development of China’s energy-saving and new energy vehicle industry from 2011 to 2020 and with pure electric vehicles as the main strategic direction, finally achieving the industrialization of electric vehicles and plug-in hybrid vehicles. According to an insider, “the Planning covers the whole new energy vehicles industry chain from the development and production to marketing, after-sales service as well as recycling. Every link will have corresponding policies as specification. In addition, according to previous research results, and comprehensively taking recommendations and advice of experts and professional bodies into consideration, the Planning will introduce a series of fiscal policy, tax policy, investment and financing policies to support energy saving and new energy vehicles.”

　　Carmakers who want to have a finger in the pie will find the threshold become higher. It is leant that one important intention of the market access system raised by the draft is to limit the disordered competition of new energy vehicles. According to sources, the Planning has made clear qualification requirements, including its investment scale and strength of R & D on new energy vehicles for those who enterprises want to win state supports. All car companies have recognized clearly that entering the list is the premise to have a place in China new energy vehicle market.

　　Ministry of Industry and Information Technology is now working on the development planning and support policies in energy-saving and new energy vehicles. Equipment Industry Secretary Zhang Xiang Mu frankly said that referring to the development of energy saving and new energy vehicles, a national team will be formed in accordance with national strategies. The government requires the Planning can not only actively guide the role of corporations be fully played in both the local and social investment, but also prevent chaos and avoid blind investments and duplicated construction.

　　“According to this planning, some state-owned Automotive Groups who possessed technical and financial advantages will be the winners.” Tan Jijia, senior analyst at China Merchants Securities, expressed that “investment bubbles in the new energy industry such as wind power generation and solar has attracted great attention of the management. The management does not want to repeat the same mistakes.” Quan Chunze, former Asia-Pacific president of Delphi said, “No matter in China or the developed countries, the development of new energy vehicles is seriously lack of resources. Therefore, we must concentrate superior forces for major breakthroughs.”

　　It is understood what lacks firstly in China is funds. At present the funds for the development of new energy vehicles in China mainly come from the local government and enterprises. The governments are only paying attention to its own baby, which leads the government investments is extremely scattered. In addition, as to these companies, the lack of coordination also has led to a number of duplicate constructions. A new survey has showed that the total investments of 13 car enterprises in China (including the top five groups) in the new energy vehicles are even smaller than General Motors. According to publicly available data, the total investments of 13 car enterprises are no more than 18 billion Yuan while only the funds spending by General Motors on the research and development of Chevrolet Volt electric vehicle is as high as 50 billion Yuan. The R & D investment on new energy vehicles of Toyota is high to 50 billion Yuan annually. Moreover, even so rich a company as Toyota has adopted a way of joint development of new energy vehicles considering the huge early investment and long payback period. Japanese car companies such as Toyota, Nissan and Panasonic have announced to jointly develop lithium batteries.

　　In addition, the development of new energy vehicles in China is facing a serious lack of talents. At present, China has not established a training system of talents on new energy vehicles. Most research and development personnel in car companies and universities are just crossing the river by feeling the stones.

　　(Translator: Yalong/Jessie)

　　See original Chinese report Please click: http://auto.sohu.com/20100625/n273064432.shtml