Tuesday, April 07, 2009

China Aspiring to Become Market Leader in Hybrid Vehicle Market

China wants to become the one of the market leaders of hybrid and electric vehicles in the world. It also matches with the government policy in China which focuses much on clean technology to lessen the dependence on fossil fuels. China also wants to create a big domestic market for the hybrid car, looking to decrease the dependency of Chinese economy on fossil fuels.

Well, this is a praiseworthy initiative taken by Chinese government. No doubt, China will initially target its ever-increasing domestic car market which is very big and lucrative for any automaker. If Chinese auto makers can make substantial success in domestic hybrid car market, then it will help them to grow their business in overseas. I think, Chinese government could itself take initiative to produce hybrid car and busses which will initially be used in China, with exports being the next target.

This is the time of economic recession and people would like to cut the operational costs of a passenger vehicle and herein lies the advantage of hybrid or electric cars. Moreover, the environmental issue is also another thing to count on. Now, let us see if India, who also has a large car market, would follow China’s footstep in hybrid car market.

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