New energy vehicle development opportunities in pure electric

An executive of a new energy vehicle listed company has said privately: “The country’s ultimate preference for the development of pure electric vehicles or hybrid cars will be very controversial. However, in the field of hybrid electric vehicles, whether our country is a car company or a new energy source Battery companies are certainly not able to keep up with Japan’s Toyota.”

What reminds me of this scene is a recent news report. Ke Liyuan, chairman of the National People's Congress, and Zhong Faping, a representative of the National People's Congress, made a speech on the “two sessions” in the country to renew the debate on the pure electric and hybrid power of new energy vehicles. The big brother of the new energy battery industry said that the policy should vigorously support the development of the hybrid automobile industry and effectively promote the energy conservation and emission reduction of the automotive industry. Tesla, which has become a globally popular electric car, is only a capital conspiracy.

The industry's new energy automotive industry and the communications industry's 4G and 5G industries all have a common feature. That is, the industry has a great future, and the set of industry standards is quite complicated. Shortly after the interview with the senior executive, China introduced the policy of continuing to support new energy vehicles, which was clearly further tilted on the pure electric route. It can be seen from the financial subsidies and the trial operation of vehicles in a number of pilot cities. This kind of tilt is exactly the cause of Zhong Faping’s dissatisfaction. He shouted the voice that “oil and electricity are mixed in a world that is unstoppable and pure electric workers hurt their wealth” and called on BYD to “return to the railroad of hybrid vehicles and electric vehicles, to take the wrong road, and not to Tesla Mechanically."

From the perspective of technology and market operations, it is clear that pure electric and hybrid power have their own advantages, otherwise they will not be controversial and they will not be able to play games. Zhong Faping's words and his position are well understood - he believes that the hybrid represents the trend. The company in charge will launch the Ni-MH hybrid car battery production line. After the production line is put into operation, it must also cry out for related industries.

Looking at the global market, the earliest large-scale investment in the field of new energy vehicles is Japan, and the best-developed country is Japan. Zhong Faping’s partner is Toyota of Japan. From the perspective of energy conservation and emission reduction, the United States and European countries have also been encouraging the development of new energy vehicles. It is precisely the policies concerning automobile emissions related to CO2 emissions that Tesla’s representative electric vehicle company has risen in the United States. The first major player to make Tesla’s first profit last year is actually the CO2 emission target purchased by other traditional car companies. Electric cars do not emit carbon dioxide.

Therefore, standing in the perspective of the entire industry and the country’s industrial heights, I can understand the ideal of domestic pure electric new energy vehicle company compared to the exciting words of Zhong Faping. In fact, BYD Ping was not the only person to call the electric vehicle route. It was started as an electric car, and now it is a pure electric and hybrid drive.

The executive of the pure electric new energy automobile company told me that in the automotive field, the new energy vehicle is the only automobile industry that the country believes has the opportunity to turn overtaking. China is the world’s largest automobile production and consumption country, but its core technology is not much known. Under the market-for-technology strategy, the domestic market is basically a joint venture vehicle company. From a national perspective, it has long been compelled to recognize that there is always a gap of 10 to 20 years in the internal combustion engine technology between China and developed countries, and it is difficult to catch up. Therefore, from the perspective of national and industrial policies, there are always some people in the Chinese auto race who do not want to continue to be a follower like a traditional car, but go their own way. In these people's view, two sets of power systems are used for hybrid power and electric power, but they are only products of the immature stage of the electric vehicle market. Pure electric power should be the ultimate goal, so it is better to develop directly to pure electric power.