China has already started to make headlines worldwide with its electric vehicles. They had started doing business in many countries, with a boom in electric vehicles happening about five years ago when Chinese government started implementing the ban on fuel-based taxis. This ban kickstarted the market for battery-powered vehicles, and the companies have gone international ever since.
The charging procedure of the vehicles is quite uncomplicated. The phenomenon is unprecedented in the world as it directly demonstrates the role a government can play in the proliferation of new technology. The EVs have to go to a station to recharge when they run out of charge, where a specialised machine swaps the battery with a new, fully charged one.
According to the China Passenger Car Association, many Chinese citizens are now turning to electronic vehicles, which will number about 6 million by the end of this year. Many South American countries are also reaping the benefits of this rising Chinese industry due to imports.
As per MIT research, about 40 per cent of vehicles sold in China will be electric by 2030. Despite the tumultuous state of the world economy, Chinese economic growth, along with the subsidies provided by the government since 2009 for the purchase of electric vehicles, will facilitate this.
But despite the rising industry, questions have been raised regarding whether this industry is here to stay in the long run, as this means a paradigm shift in how the world approaches cars. Economists have argued that when the vehicles would not be subsidised anymore, and the sales are likely to dip.
There also is a problem regarding the distribution of electricity, as many charging stations will be needed to provide for all those new vehicles. China will also have a tough deal to face in this scenario, as the country is trying to reduce its coal consumption in power plants.
As China goes global, there is also a concern about establishing more battery-swapping stations worldwide. However, the process has already started. As per the BBC, Nio, a high-end manufacturer, is bringing its battery-swapping stations to Norway and has just opened its second station in the country.
Electric cars can be a huge part of our collective future regarding our transportation future, and China will definitely be a massive player in this regard. However, it will be interesting to see how the market fares after the Chinese government stops the subsidies.
