China heading to "green" road with hybrid cars

China is heading to its "green" road. As reported by 2456.com on December 2, a Chinese official said that China may have 60,000 new energy vehicles by 2012 and the government will focus on boosting the annual production of hybrids, making the nation to become another potential green car market.

Wan Gang, the minister of China's Ministry of Science and Technology, last week attended the nation's large-scale application project to promote energy saving and new energy vehicles and told the local media that the Ministry is veering away from its previous preference for clean diesel as an alternative fuel of choice and is moving towards hybrids.

The adjustment of the Ministry's preference is believed to serve as a stepping stone to the use of all-electric cars, as clean diesel is more expensive and all-electric is considered a more long-term alternative to petrol in the country. The Ministry is considering to promote hybrids to 10 large cities in three years, targeting 10,000 new energy cars throughout the country.

According to a report by Automotive News, an advisor to the ministry said that development of electric and fuel cell vehicles has received over 60% of the ministry's funding in recent years, compared to 2-3% for clean diesel which used to attract the bulk of investment.

The hybrid development has seen some positive results in China, mainly due to rising market demand in eco-friendly vehicles caused by the fuel crisis and growing pollution, as well as the new policies by the Chinese government. In fact, various carmakers have been making their efforts in fighting for the market, ensuring the future of hybrid technology in China.

Changan: The country's first indigenous hybrid-powered vehicle

The country's first indigenous hybrid-powered vehicle, Jiexun-HEV, was developed in 2007 by Changan Automobile. As a foster part of Project 863 -- a project promoting electric vehicles initiated by National Scientific and Technological Ministry since 2002 -- Changan Corporation developed hybrid car models equipped with manual transmission and automatic transmission based on the platform of Lingyang car. According to the company, the Jiexun-HEV is an integral part of the "electrified automobile program" in the Project.

It took the China's forth-largest carmaker six years to develop the Jiexun-HEV model. The car meets EU-IV emission standards and its fuel economy is improved 20% compared to the non-hybrid version.

Forming venture to develop green cars

China's largest carmaker, SAIC Motor, has just taken serious step to show its focus on energy-efficient vehicles.

According to a statement filed with the Shanghai Stock Exchange last month, SAIC Motor will spend US$ 293 million on the join venture to develop green cars, taking a 10% stake in the venture, while its parent company SAIC will have a 90 share in the venture.

The venture will work on research and development of core components for new energy vehicles such as electric transmissions and new power systems, the carmaker said. It also said earlier that its target is to mass-produce hybrid cars by 2012, with an annual production target of 10,000 units.

BYD: World's first mass produced plug-in hybrid soon in China market

While global carmakers Toyota and GM are still planning to release their hybrids by 2010 and 2012, the world's first mass produced plug-in hybird compact sedan will soon be available in the Chinese market this December.

As reported by local media, BYD Auto, the automating unit of Hong Kong-listed rechargeable battery maker BYD Co, will release the F3DM (Dual Mode Electric Hybrid) with approval by the Chinese government.

F3DM has already undergone extensive testing. As introduced by the carmaker, the batteries that power the F3DM are BYD's own design, and use iron rather than lithium. BYD also say the batteries can run 600,000km before they need to be changed, or around a 10-year life span. The electrical motor can run 100km on electric power provided by the battery, when the battery is running out, a small gasoline engine kicks in.

Since the growth of China's economy is slowing amid the gloomy global economic environment, the hybrid market in China provides a new hope to the carmakers. Meanwhile, even overseas carmakers are eyeing on the Chinese market. South Korean carmaker Hyundai Motor said last week that it will expand its production of small, fuel-efficient cars for China and other emerging markets.