CODA CEO comments on differences between EV markets in China and the US

Gasgoo.com (Shanghai February 7) - CODA Automotive, a privately held company stationed in South California, has made impressive strides in the field of electric vehicles. While CODA primarily uses American-made auto parts, such as engines, engine control units and transmissions, it has signed an agreement with Changan's Hafei Automobile to manufacture and assemble some parts. On the floor of last month's North American International Auto Show in Detroit, the Guangzhou Daily held an interview with CODA Holdings CEO Philip F. Murtaugh, who previously held the role of chairman of General Motors China.

Guangzhou Daily: "How is the development of electric vehicles in the Chinese market different from the US market?"

Mr. Murtaugh (pictured): "Due to the relatively good fundamental infrastructure in the US, electric charging posts can be installed in parking garages, whereas in China charging equipment for electric vehicles requires government investment. In the short-term the American electric vehicle market will develop faster, but in the long-term the Chinese market possesses greater prospects and potential."

Guangzhou Daily: "What is the energy density of the batteries CODA currently supplies?"

Mr. Murtaugh: "I'm very sorry, but I don't have that exact information at the moment. We use lithium iron phosphate batteries. In terms of energy density they may not be the highest, but they are the most stable. There may be stronger batteries, but they are not nearly as stable. Automobiles are products that require very high safety standards be met. Furthermore, we have spent a lot of effort in researching and developing an advanced battery management system that will help extract even more energy from the battery pack. We also have a temperature control system that can ensure that the battery pack is in the most optimal environment. With these two systems acting together, we can improve the battery's output while ensuring safety."

Guangzhou Daily: "Currently safety in electric vehicles is a hot topic. Why have there been so many cases of electric vehicles from different brands self-combusting?"

Mr. Murtaugh: "The US has done a lot of work in ensuring electric vehicle safety. The National Highway Traffic Safety Administration has already released several rules regarding electric vehicles. Of course, there are a lot of rules that still need to be perfected.

I believe that, when talking about safety legislation for electric vehicles, China is still behind the US, and still needs to do a lot of work [to catch up]. Only when rules are perfected can the commercialization of electric vehicles [be ensured]. Of course, I believe the government will take note of any problem the development of electric vehicles faces and take the appropriate actions.

Returning to the topic, I've seen several reports about self-combusting electric vehicles. However people seemed to have forgotten how many fuel-powered vehicles across the world explode everyday! Actually when thinking about it, as a form of energy, batteries are far more stable, and far safer, than automobile fuel is."

Guangzhou Daily: "Electric vehicles are not a brand new thing, and have been around since the 1970s. What advancements have the electric vehicles of today made?"

Mr. Murtaugh: "The largest advancement is battery technology. Batteries before were both heavy and large, while the volume of today's lithium batteries has decreased significantly. The commercialization and personal consumption of electric vehicles is truly much more likely [than ever before]. Additionally, problems of energy shortage have been appearing again. With the large fluctuations in oil price, several consumers are shifting towards electric vehicles. At a national level, [with the way] automobiles consume oil, China, the US and other countries are all inclined to use alternative energy sources."

Guangzhou Daily: "A lot of people are saying that 2012 is the year of the electric vehicle, do you agree?"

Mr. Murtaugh: "Currently in the US market, demand for electric vehicles is outmatching supply. Over the next three years, electric vehicles in China will continue to develop. As charging infrastructure becomes more universal, electric vehicles will develop rapidly in the next decade."

Guangzhou Daily: "Personally speaking, do you find traditional or electric vehicles more interesting?"

Mr. Murtaugh: "[Petroleum-based] fuel, diesel, electricity or hybrid power, all of these are just different drive systems. My passion for the automobile industry has not changed."