Sign in
China’s electric vehicle sector has reached an annual production volume of over 10 mn units, marking a 4.3% y-o-y increase, South China Morning Post (SCMP) reports. Chinese-made EVs and hybrid cars account for over 65% of the global market, according to data from the China Passenger Car Association cited by SCMP. The country is also home to 50 battery makers, whose capacity is expected to reach 4.8k GWh, with three-quarters of this capacity set for exports. Worries of overcapacity are cropping up leading to “more existing production facilities and workers will become redundant,” founder of EV data firm CnEVPost Phate Zhang told SCMP.
REMEMBER- China’s EVs are hit by tariffs right and left: In October, the EU decided to move forward with Chinese EV tariffs of up to 45%. These duties — set to last for five years starting this coming January — could cost Chinese carmakers bns who wish to stay in the EU market and are designed to counter what the EU considers unfair subsidies provided to Chinese manufacturers. The US and Canada also imposed 100% tariffs on Chinese EVs.
(** Tap or click the headline above to read this story with all of the links to our background and outside sources.)
IN OTHER CHINA UPDATES- The country has launched its first GW-level offshore solar power project in Shandong province, Bloomberg reported last week. The open-sea PV plant, located 8 km off the coast of Dongying city, successfully connected to the grid on Wednesday. The 1 GW project — developed by a unit of China Energy Investment Corp — is expected to generate nearly 1.8k GWh of power annually and reduce carbon dioxide emissions by more than 1.3 mn tons annually. Other areas, such as Shandong, Jiangsu and Shanghai, also have offshore solar plans, aiming for over 11 GW by 2025.
The Czech government is planning to retroactively lower subsidies for solar PV installations back to 2009, the Financial Times reports. The move is sparking concerns among renewables players in the country who vowed to fight back against the move. Three solar developers in Prague — Voltaic Network, Energy, and Photon Energy — have threatened legal action against the government under the international Energy Charter Treaty, which was set up to protect investors after the Soviet Union dissolved. Germany’s Voltaic says the subsidy cuts would lead to bankruptcy and “wiping out billions of dollars in investments” for the companies, according to a letter to the European Commission reported by Financial Times.
Part of EU-wide trend: EU governments are struggling to fund the bloc’s energy transition, with Poland and Germany reconsidering their own renewables subsidies. Italy also limited the rollout of solar panels on farmland as well as heat pump subsidies earlier this year.
EIB to allocate EUR 500 mn for green tech: The European Investment Bank (EIB) will allocate USD 500 mn in counter-guarantees to support clean-tech companies in Europe, Bloomberg reported last week. The initiative aims to help these firms compete globally, particularly against rivals in the US and China that benefit from substantial state support. The EIB plans to release the funds in tranches of up to EUR 30 mn starting next year, pending board approval by early 2025, the EIB head of operations Jean-Christophe Laloux said during COP29. This move follows the template of a previous EUR 5 bn pledge to bolster Europe’s wind sector, with half of that amount already committed.
About the initiative: The program aims to support new and smaller companies that often struggle to secure financing guarantees due to capital requirements. Around 15 clean-tech firms, including those providing industrial heat, would benefit from the initiative, Laloux said.
