Industry dynamics

Why doesn’t China encourage the developments of PHEV models?

Publishtime:2019/08/16 Views:35

Why doesn’t China encourage the developments of PHEV models?

PHEV models contain higher technologies than BEV models, and it is quite difficult to guarantee smooth work and achieve mass capacity. BYD has the most advanced technologies in domestic market, but still lagging behind Toyota, the largest PHEV passenger vehicles producer globally. In fact, PHEV could be a good alternative for BEV models with under-developed battery technologies.

But policies are guiding auto companies to produce BEV models instead of PHEV models. Subsidies encourage domestic auto companies to produce low-quality BEV models. If BEV models obtain power from other energy resources instead of wind or solar energy, they will have higher efficiency than traditional internal-combustion engines in energies but could not reduce pollution. Although the opening up of BEV models and suppressing of PHEV models make more auto companies to achieve the mass production of BEV models, but it is not the best choice in the long run, considering environmental-protection factor and developments of clean-energy vehicles.